Economics · Microeconomics
When P x MU x > P y MU y for a consumer purchasing goods X and Y, what action should the consumer take to maximize utility?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1Decrease the consumption of both X and Y
- 2Increase the consumption of both X and Y
- 3Decrease the consumption of X and increase the consumption of Y
- 4Increase the consumption of X and decrease the consumption of Y✓
Correct answer
Increase the consumption of X and decrease the consumption of Y
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