Assertion (A): A consumer may buy more units of a cheaper good even if the costlier good gives higher utility per unit.
Reason (R): The consumer compares marginal utility per rupee, not marginal utility alone.

Both A and R are true, and R is the correct explanation of A.Correct answerYour answerBoth A and R are true, but R is not the correct explanation of A.Correct answerYour answerA is true, but R is false.Correct answerYour answerA is false, but R is true.Correct answerYour answer

Show the answer and explanation

CorrectNot quiteAnswer A

Correct answer: A

Both are true.
Because what matters is utility per rupee, a cheap good with lower MU can still be the better buy: R explains A.

Concept: Utility per rupee
Typical timeTypical: 70 s
Your timeYours: —

The rule this testsEquilibrium with two goods

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Ten questions from Utility & Consumer's Equilibrium, at your own pace.

Assertion (A): A consumer may buy more units of a cheaper good even if the costlier good gives higher utility per unit.Reason (R): The consumer compares marginal utility per rupee, not marginal utility alone.

Explanation

Assertion (A): A consumer may buy more units of a cheaper good even if the costlier good gives higher utility per unit.
Reason (R): The consumer compares marginal utility per rupee, not marginal utility alone.