If marginal revenue is negative then the revenue lost from receiving a lower price on all the units that could have been sold at the original price is smaller than the additional revenue from selling one more unit of the good.
Indicate whether the statement is true or false
Question 2
The marginal utility per dollar that Harold Stratton receives from oranges is greater than the marginal utility per dollar Harold receives from pears. To maximize his utility, what should Harold do?
A) He should buy fewer pears and more oranges.
B) He should buy fewer oranges and more pears.
C) He should reduce his consumption of both oranges and pears so that he can buy a greater variety of goods.
D) He should acquire more income so that he can afford to buy more oranges and pears.
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