In consumer behavior theory, the equal marginal principle states that

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    utility is maximized when the consumer has equalized the marginal utility per dollar of expenditure across all goods.
     utility is maximized when the consumer has equalized the marginal utility for all goods.
     utility is maximized when the consumer has consumed an equal number of each of the goods in the market basket.
     utility is maximized when the ratio of the prices of the goods in the market basket is equal to the ratio of the number of the two good consumed.
asked Jun 2, 2013 in Economics by anonymous
    

1 Answer

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utility is maximized when the consumer has equalized the marginal utility per dollar of expenditure across all goods.
answered Jun 3, 2013 by Xyz ~Expert~ (3,650 points)



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