WAEC Economics 2017 Objective — Question 14
Question 14 of 50 from the West African Examinations Council (WAEC) Economics 2017 Objective paper, with the correct answer and a full explanation.
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A rational consumer will purchase a commodity whose price is
- A. A. greater than his marginal utility
- B. B. less than his marginal utility
- C. C. equal to his marginal utilityCorrect
- D. D. equal to his total utility
Explanation
A rational consumer will consume more of a commodity if MUx>Px and less if MUx<Px. He is at equilibrium when MUx=Px.
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