Ask Question
1 March, 10:03

Suppose a consumer is trying to decide how much to spend on foodfood and how much to spend on all other (non-foodfood ) consumption. The economic model of consumer behavior predicts that the consumer will

A. choose the combination of foodfood and non-foodfood consumption that makes her as well off as possible from among the combinations of foodfood and non-foodfood items she can afford.

B. consume any combination of foodfood and non-foodfood consumption from among the combinations of foodfood and non-foodfood items she can afford.

C. consume an infinite amount of foodfood and non-foodfood consumption.

D. consume as much foodfood and as much non-foodfood consumption as she wants.

E. consume as much foodfood as she can afford without any non-foodfood consumption.

0
Answers (1)
  1. 1 March, 11:01
    0
    The answer is: A. choose the combination of food and non-food consumption that makes her as well off as possible from among the combinations of food and non-food items she can afford.

    Explanation:

    The economic model of consumer behavior states that an individual will consume the products or services that maximize his (or her) benefits and overall well-being while minimizing costs.

    So this consumer should choose the combination of products (between food and non-food products) that maximize his well-being while having the lowest possible cost.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Suppose a consumer is trying to decide how much to spend on foodfood and how much to spend on all other (non-foodfood ) consumption. The ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers