Economic models simplify reality and help us to better understand ...

[gonzo233]

Economic models simplify reality and help us to better understand important aspects of it.
  Indicate whether the statement is true or false

Question 2

According to utility theory, a consumer is in equilibrium when:
 a. total income is spent.
  b. marginal utility per dollar spent for a good is maximized.
  c. total utility per unit of a good is maximized.
  d. total utility per dollar spent is equal for all goods.
  e. marginal utility per dollar spent is equal for all goods.

[leahchrapun]

Answer to Question 1

T

Answer to Question 2

e

[gonzo233]

Wow, this really help

[phuda]

Thanks for the timely response, appreciate it