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The Figure Above Shows the Markets for Water and Diamonds

Question 145

Multiple Choice

   The figure above shows the markets for water and diamonds. -Based on the figures above,it is the case that the consumer surplus from water ________ the consumer surplus from diamonds and the marginal utility from water ________ the marginal utility from diamonds. A)  is equal to; is equal to B)  is larger than; is equal to C)  is larger than; is larger than D)  is larger than; is smaller than E)  is smaller than; is smaller than
The figure above shows the markets for water and diamonds.
-Based on the figures above,it is the case that the consumer surplus from water ________ the consumer surplus from diamonds and the marginal utility from water ________ the marginal utility from diamonds.


A) is equal to; is equal to
B) is larger than; is equal to
C) is larger than; is larger than
D) is larger than; is smaller than
E) is smaller than; is smaller than

Correct Answer:

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