In the utility maximizing model, consumer preferences are assumed to be transitive. What does this mean?
A) that consumers have the freedom to change their preferences from time to time
B) that consumers prefer more of a good to less
C) that consumers go through cycles in their consumption behavior
D) that consumers have preferences that are relatively consistent in the time period under consideration
D
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Which of the following is not associated with global poverty?
A. Lack of medical care. B. Low mortality rates. C. Lack of proper clothing. D. Malnourishment.
Figure 6.9 depicts a hypothetical fish market with a horizontal supply curve. The consumer surplus at the initial equilibrium is shown by:
A. Triangle A. B. Triangle A + Rectangle B. C. Triangle A + Rectangle B + Triangle C. D. Triangle A + Rectangle B + Rectangle D.
Why might a system of marketable pollution permits lead to a higher concentration of polluted areas than would a command-and-control system?
What will be an ideal response?
Individuals in a market economy can be both buyers and sellers.
Answer the following statement true (T) or false (F)