Exam 5: Consumer Choice

arrow
  • Select Tags
search iconSearch Question
flashcardsStudy Flashcards
  • Select Tags

The law of diminishing marginal utility gives us insight into the downward-sloping demand curve because consumers are willing to pay a higher price for goods with high marginal utility.

(True/False)
4.8/5
(43)

The mix of consumer purchases that maximizes the utility attainable from available income is called the

(Multiple Choice)
4.8/5
(38)

Optimal consumption is the mix of consumer goods sold that maximizes utility for producers.

(True/False)
4.9/5
(37)

Price discrimination occurs when

(Multiple Choice)
4.8/5
(39)

The slope of the budget constraint, when a consumer has reached optimal consumption of two goods, is equal to the

(Multiple Choice)
4.8/5
(34)

A successful advertising campaign induces consumers to buy more of a product at any given price than before.

(True/False)
4.9/5
(39)

As compared to sociologists and psychologists, economists accept consumer tastes as given and instead focus on

(Multiple Choice)
4.7/5
(40)

  Refer to Figure 19.1.The total consumer surplus in this market is equal to Refer to Figure 19.1.The total consumer surplus in this market is equal to

(Multiple Choice)
4.8/5
(42)

Assume that Anna buys peanut butter and bread.If the price of peanut butter falls, then

(Multiple Choice)
4.8/5
(31)

Price discrimination is ________ in the United States and ________ practiced.

(Multiple Choice)
4.9/5
(33)

  See Figure 19.1.Lu's consumer surplus is equal to See Figure 19.1.Lu's consumer surplus is equal to

(Multiple Choice)
4.9/5
(30)

The ___________ surplus will rise if the price of the good ________.

(Multiple Choice)
4.8/5
(42)

Graphically, as a consumer buys more of a good, the marginal utility line will

(Multiple Choice)
4.8/5
(37)

Sociopsychiatric explanations of consumer behavior include the

(Multiple Choice)
4.9/5
(36)

Total utility is maximized when

(Multiple Choice)
5.0/5
(37)

The rational consumer chooses a combination of two goods that is on the budget constraint and is tangent to the highest indifference curve possible.

(True/False)
4.9/5
(30)

According to the law of demand, ceteris paribus,

(Multiple Choice)
4.9/5
(45)

Price discrimination is illegal in the United States.

(True/False)
5.0/5
(33)
Showing 121 - 138 of 138
close modal

Filters

  • Essay(0)
  • Multiple Choice(0)
  • Short Answer(0)
  • True False(0)
  • Matching(0)