Author Question: When people make choices that (at the time and with the information they have at their disposal) ... (Read 37 times)

humphriesbr@me.com · **on:** Jun 30, 2018

When people make choices that (at the time and with the information they have at their disposal) give them the greatest amount of satisfaction, they are said to be:
a. behaving irrationally.
b. applying econometric models to their everyday behavior.
c. living under a communist dictator.
d. acting in their own self-interest.
e. showing no willingness to plan for the future.

Question 2

If the marginal benefit Isaac derives from the consumption of another candy bar is greater than the price of the candy bar, then:
a. Isaac will not purchase any more candy bars.
b. Isaac will increase his total satisfaction by purchasing the candy bar.
c. the opportunity cost of the candy bar is less than the price.
d. Isaac's total utility will diminish if he purchases the candy bar.