If Clams and Mussels Are Normal Goods, Then When the Amount

question 20

Multiple Choice

If clams and mussels are normal goods, then when the amount the consumer can spend increases,

• A)purchases of whichever good is preferred will increase, and purchases of the good not preferred will decrease
• B)purchases of both goods will increase
• C)only purchases of the cheaper good will increase
• D)only purchases of the more expensive good will increase
• E)it is unclear what will happen to purchases of clams and mussels

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Definitions:

Learned Helplessness

A condition resulting from the perception that we have no control over our environment.

Martin Seligman

A psychologist known for his work on the theory of learned helplessness, positive psychology, and well-being.

Perception

The process by which individuals interpret and organize sensory information to give it meaning.

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An analytical method in statistics for detecting the basic components or factors explaining the correlation structure in a group of observed variables.