The objective of the household is to
a. maximize household wealth
b. own as much land as possible
c. save as much money as possible
d. acquire as many goods as possible
e. maximize utility
Question 2
The statement Households maximize utility means that households
a. try to be as useful as possible to the economy
b. are only interested in maximizing their earnings
c. are assumed to buy useful things before they buy luxuries
d. are only interested in acquiring material wealth
e. are assumed to do what they think will increase their satisfaction
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