Exam 7: Consumer Behavior

Taylor is interviewing for a job. She decides to wear a suit to the interview in an effort to make a good first impression, even though she would be more comfortable in a simpler outfit of slacks and a blouse. Economic theory:

(Multiple Choice)

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Question 41

Assume Kayla's budget constraint is represented in the graph shown. If the price of comic books decreases, the slope of Kayla's budget constraint will become ___, reflecting the fact that _ are now relatively ___ expensive.

(Multiple Choice)

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Question 42

In general, the substitution effect of an increase in the price of a normal good will cause an individual to buy ___ of that good and _ of others because it is relatively ___ expensive.

(Multiple Choice)

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Question 43

Neema has an hour of free time she can spend doing one of three activities. Spending the hour reading would give her a utility of 4, playing video games would give her a utility of 2, and jogging would give her a utility of 6. Based on this information, economists could predict that Neema will:

(Multiple Choice)

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Question 44

Which of the following statements about a budget constraint is true?

(Multiple Choice)

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Question 45

When the price of one good changes, while the prices of all other goods stay the same, the change in relative prices:

(Multiple Choice)

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Question 46

The principle of diminishing marginal utility states that:

(Multiple Choice)

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Question 47

Vihaan works for an environmental agency. Every day he brings a reusable water bottle to work, which he fills from the water purifier as needed, rather than buying plastic, disposable spring water bottles. Joe most likely derives utility from:

(Multiple Choice)

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Question 48

Grace has received a utility of 8 from eating a slice of pizza. If she chooses to eat a second slice:

(Multiple Choice)

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Question 49

Sam has $200 a month to spend on either tanning sessions or rounds of golf. Tanning sessions are $20 each and a round of golf is $50. Which of the following would be a point on Sam's budget constraint?

(Multiple Choice)

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Question 50

Olivia decides to forgo a third slice of pizza and eats an ice cream cone instead. This behavior exemplifies the economic concept of:

(Multiple Choice)

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Question 51

Madison has set aside $24 for her snack budget this month. Her favorite snacks are ice cream and chips. The price of a pint of ice cream is $4 and the price of a bag of chips is $3. She currently consumes three pints of ice cream and four bags of chips each month. If the price of a pint of ice cream drops to $3, the substitution effect predicts that Madison will consume:

(Multiple Choice)

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Question 52

Quinn has $100 to spend on either bowling or eating out each month. It costs $10 to bowl for a night and $20 for Quinn to eat at a restaurant. Which of the following would be a point on Quinn budget constraint?

(Multiple Choice)

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Question 53

Assume Dana's budget constraint is represented in the graph shown. If Dana's income to spend on these two items decreases, which of the following could be said?

(Multiple Choice)

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Question 54

Ethan has $150 a month to spend on two normal goods-books and movie theater tickets. The price of a book is $15 and the price of a movie ticket is also $15. He currently consumes four books and six movies each month. If the price of a book drops to $10, the substitution effect predicts that Ethan will consume:

(Multiple Choice)

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Question 55

While checking out at the pet store, Diya is asked if she would like to donate to the World Wildlife Fund. She decides to donate $5, and in exchange her name is written on a heart decal that is hung in the store's window. This is an example of the economic concept of:

(Multiple Choice)

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Question 56

If the graph shown represents Taylor's budget constraint, which of the following consumption bundles could Taylor choose?I. Four video games and twelve comic booksII. Three video games and three comic booksIII. Two video games and eight comic booksIV. One video game and six comic books

(Multiple Choice)

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Question 57

Altruism describes a motive for action in which a person's utility:

(Multiple Choice)

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Question 58

Assume Hannah's budget constraint is represented in the graph shown. If the price of movie theater tickets increases, the slope of Hannah's budget constraint will become ___, reflecting the fact that _ are now relatively ___ expensive.

(Multiple Choice)

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Question 59

If successive units of a good are consumed, the marginal utility gained typically:

(Multiple Choice)

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Question 60

Showing 41 - 60 of 140

Exam 7: Consumer Behavior

Taylor is interviewing for a job. She decides to wear a suit to the interview in an effort to make a good first impression, even though she would be more comfortable in a simpler outfit of slacks and a blouse. Economic theory:

Assume Kayla's budget constraint is represented in the graph shown. If the price of comic books decreases, the slope of Kayla's budget constraint will become _____, reflecting the fact that _____ are now relatively _____ expensive.

In general, the substitution effect of an increase in the price of a normal good will cause an individual to buy _____ of that good and _____ of others because it is relatively _____ expensive.

Neema has an hour of free time she can spend doing one of three activities. Spending the hour reading would give her a utility of 4, playing video games would give her a utility of 2, and jogging would give her a utility of 6. Based on this information, economists could predict that Neema will:

Which of the following statements about a budget constraint is true?

When the price of one good changes, while the prices of all other goods stay the same, the change in relative prices:

The principle of diminishing marginal utility states that:

Vihaan works for an environmental agency. Every day he brings a reusable water bottle to work, which he fills from the water purifier as needed, rather than buying plastic, disposable spring water bottles. Joe most likely derives utility from:

Grace has received a utility of 8 from eating a slice of pizza. If she chooses to eat a second slice:

Sam has $200 a month to spend on either tanning sessions or rounds of golf. Tanning sessions are $20 each and a round of golf is $50. Which of the following would be a point on Sam's budget constraint?

Olivia decides to forgo a third slice of pizza and eats an ice cream cone instead. This behavior exemplifies the economic concept of:

Quinn has $100 to spend on either bowling or eating out each month. It costs $10 to bowl for a night and $20 for Quinn to eat at a restaurant. Which of the following would be a point on Quinn budget constraint?

Assume Dana's budget constraint is represented in the graph shown. If Dana's income to spend on these two items decreases, which of the following could be said?

While checking out at the pet store, Diya is asked if she would like to donate to the World Wildlife Fund. She decides to donate $5, and in exchange her name is written on a heart decal that is hung in the store's window. This is an example of the economic concept of:

If the graph shown represents Taylor's budget constraint, which of the following consumption bundles could Taylor choose?I. Four video games and twelve comic booksII. Three video games and three comic booksIII. Two video games and eight comic booksIV. One video game and six comic books

Altruism describes a motive for action in which a person's utility:

Assume Hannah's budget constraint is represented in the graph shown. If the price of movie theater tickets increases, the slope of Hannah's budget constraint will become _____, reflecting the fact that _____ are now relatively _____ expensive.

If successive units of a good are consumed, the marginal utility gained typically:

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Assume Kayla's budget constraint is represented in the graph shown. If the price of comic books decreases, the slope of Kayla's budget constraint will become ___, reflecting the fact that _ are now relatively ___ expensive.

In general, the substitution effect of an increase in the price of a normal good will cause an individual to buy ___ of that good and _ of others because it is relatively ___ expensive.

Assume Hannah's budget constraint is represented in the graph shown. If the price of movie theater tickets increases, the slope of Hannah's budget constraint will become ___, reflecting the fact that _ are now relatively ___ expensive.