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Carlo Corpuz
on Oct 08, 2024

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The theory of consumer behavior assumes that consumers attempt to maximize:

A) the difference between total and marginal utility.
B) total utility.
C) average utility.
D) marginal utility.

Consumer Behavior

Consumer behavior is the study of how individuals make decisions to spend their resources on consumption-related items, including what, why, and how they buy.

Total Utility

The overall satisfaction or happiness derived from consuming a certain amount of goods or services.

Maximize

The process of increasing a particular outcome or value to its highest possible level given a set of constraints.

  • Grasp the underlying assumptions of the theory of consumer behavior, including utility maximization.
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landy francoOct 14, 2024
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