Asked by Munei Tshidavhula on May 03, 2024
Verified
Prashanth decides to buy a $75 ticket to a particular New York professional hockey game rather than a $50 ticket for a particular Broadway play. We can conclude that Prashanth
A) is relatively unappreciative of the arts.
B) obtains more marginal utility from the play than from the hockey game.
C) has a higher "marginal utility-to-price ratio" for the hockey game than for the play.
D) has recently attended several other Broadway plays.
Marginal Utility-To-Price Ratio
The comparison of the additional satisfaction received from consuming one more unit of a good to the price of that unit, used to maximize utility.
Utility Maximization
The concept in economics that individuals or households will attempt to get the greatest satisfaction possible from their available resources.
Professional Hockey
Professional hockey encompasses the teams, players, and activities related to the sport of hockey played at the highest level of skill, often as a career, including leagues such as the National Hockey League (NHL).
- Adopt the concept where marginal utility per unit of price is used to maximize utility.
Verified Answer
Learning Objectives
- Adopt the concept where marginal utility per unit of price is used to maximize utility.
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