Eating avocado also crab dip with four crackers

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Q. Kathleen likes avocado also crab dip. After eating avocado also crab dip with four crackers, she switches to cheese with crackers. We can conclude that the avocado also crab dip cannot have tasted that good. The avocado also crabs dip with crackers now has a marginal utility of zero. At this point cheese also crackers has a higher marginal utility per dollar spent than that of avocado also crab dip with crackers. Kathleen is no longer maximizing her utility.

Reference no: EM1321604

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