If a Good Is Offered to a Rational Individual for Free

question 85

Multiple Choice

If a good is offered to a rational individual for free, she will

• A)accept unlimited quantities of the good each time period
• B)stop consuming it when its marginal utility begins to increase
• C)stop consuming it when its marginal utility begins to diminish
• D)stop consuming it when its marginal utility equals zero
• E)stop consuming it when its total utility equals zero

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Definitions:

Electronic Personal Agents

Software agents or programs that perform tasks or services for an individual, such as scheduling, reminders, or information retrieval, often through AI and machine learning.

Secondary Research

The process of gathering existing data from previously published sources.

Experiment

A scientific procedure undertaken to make a discovery, test a hypothesis, or demonstrate a known fact.

Business Problem

A business problem is an issue or challenge faced by a company or organization that requires strategic planning and action to resolve for operational or financial improvement.