Researchers who make judgements in their experiments based on what is salient rather than on actual probabilities err by using a representativeness heuristic.
Indicate whether the statement is true or false
Question 2
The demand curve for a product slopes downward and to the right because:
a. total utility decreases as more of the product is consumed.
b. total utility derived from both, the product and its substitutes is the same.
c. marginal utility of the product diminishes as more of the product is consumed.
d. there are no substitutes for the product.
e. when the price falls, the income effect causes consumers to buy less of the product.
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