Microeconomics: Principles, Problems, & Policies, 20th Edition

Published by McGraw-Hill Education
ISBN 10: 0077660811
ISBN 13: 978-0-07766-081-9

Chapter 7 - Utility Maximization - Discussion Questions: 7

Answer

The answer is below.

Work Step by Step

This rule states that consumers will allocate their funds more for utilities/products that cost less money. After all, when the cost is lower, people have to pay less for the same amount of good.
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