Author Question: Refer to Scenario 5.1. The probabilities discussed in the information above are A) objective ... (Read 65 times)

Medesa · **on:** Jul 1, 2018

Refer to Scenario 5.1. The probabilities discussed in the information above are

A) objective because they are single numbers rather than ranges.
B) objective because they have been explicitly articulated by the individuals involved.
C) objective because the event hasn't happened yet.
D) subjective because the event hasn't happened yet.
E) subjective because they are estimates made by individuals based upon personal judgment or experience.

Question 2

Refer to Figure 3.2. At any consumption bundle with the quantity of good X exceeding the quantity of good Y (that is, a bundle located below the 45 degree line, like point A), Alvin's marginal rate of substitution of good X for good Y is

A) diminishing.
B) positive.
C) constant and positive.
D) zero.