« previous next »

Author Question: What is the basic assumption underlying the model of choice?[br][br][b][color=gray]Question ... (Read 117 times)

moongchi

  • Hero Member
  • *****
  • Posts: 516
on: Jun 30, 2018
What is the basic assumption underlying the model of choice?

Question 2

Other things being equal, if there is an increase in the price of the good measured on the vertical axis, the budget constraint will shift outward.
 a. True
  b. False
  Indicate whether the statement is true or false


Awesome

  • Sr. Member
  • ****
  • Posts: 280
Reply #1 on: Jun 30, 2018
Answer to Question 1

The model of choice starts by assuming that people want to make themselves as well off
as possible. In other words, people try to maximize utility.

Answer to Question 2

False


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question

moongchi

  • Hero Member
  • *****
  • Posts: 516
Reply #2 on: Jun 30, 2018
Thank you


Awesome

  • Sr. Member
  • ****
  • Posts: 280
Reply #3 on: Jun 30, 2018
No problemo


« previous next »
 

Did you know?

Amoebae are the simplest type of protozoans, and are characterized by a feeding and dividing trophozoite stage that moves by temporary extensions called pseudopodia or false feet.

Did you know?

The toxic levels for lithium carbonate are close to the therapeutic levels. Signs of toxicity include fine hand tremor, polyuria, mild thirst, nausea, general discomfort, diarrhea, vomiting, drowsiness, muscular weakness, lack of coordination, ataxia, giddiness, tinnitus, and blurred vision.

Did you know?

To prove that stomach ulcers were caused by bacteria and not by stress, a researcher consumed an entire laboratory beaker full of bacterial culture. After this, he did indeed develop stomach ulcers, and won the Nobel Prize for his discovery.

Did you know?

A cataract is a clouding of the eyes' natural lens. As we age, some clouding of the lens may occur. The first sign of a cataract is usually blurry vision. Although glasses and other visual aids may at first help a person with cataracts, surgery may become inevitable. Cataract surgery is very successful in restoring vision, and it is the most frequently performed surgery in the United States.

Did you know?

According to the National Institute of Environmental Health Sciences, lung disease is the third leading killer in the United States, responsible for one in seven deaths. It is the leading cause of death among infants under the age of one year.

A two-compartment model of pharmacokinetics. A two-compartment model of pharmacokinetics.
How to solve an exponential growth problem involving bacterial growth (Question 1) How to solve an exponential growth problem involving bacterial growth (Question 1)
An 8th grade class develops a linear model that predicts the number of cheerios (a small round ... An 8th grade class develops a linear model that predicts the number of cheerios (a small round ...
economic question economic question
economic question economic question
Question about Resultant of gravitational force? Question about Resultant of gravitational force?
Video: Ultrasound of a Fetus (Sonogram)

For a complete list of videos, visit our video library