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Business, 18.10.2019 21:00 miaa1024

suppose that cathy spends all of her income on 20 units of good x and 25 units of good y. cathy's marginal utility from the 20th unit of good x is 9 utils, and her marginal utility from the 25th unit of good y is 17 utils. if the price of good x is $0.50 per unit and the price of good y is $1.00 per unit, then to comply with the rational spending rule, cathy should:

(a) purchase more than 20 units of good x and less than 25 units of y.
(b) purchase less than 20 units of good x and more than 25 units of good y.
(c) purchase more than 20 units of good x and more than 25 units of good y.
(d) continue to purchase 20 units of good x and 25 units of good y.

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