At Her Current Consumption Level,Betty Gets Twice as Much Marginal

question 89

Multiple Choice

At her current consumption level,Betty gets twice as much marginal utility from an additional bottle of soda as she does from an additional bottle of water.If she is maximizing her utility,and the price of soda is $2 per bottle then the price of a bottle of water must be:

• A)$8.00.
• B)$1.00.
• C)$2.00.
• D)$4.00.

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Definitions:

Sensation Seeking

The trait of seeking varied, novel, complex, and intense sensations and experiences, often involving taking physical, social, legal, and financial risks.

Personality

The combination of characteristics or qualities that form an individual's distinctive character, influencing patterns of thought, emotion, and behavior.

Limited-Domain

Pertains to systems, especially in artificial intelligence, that are designed to operate within a narrowly defined or specialized area of knowledge or function.

Internal Locus

The belief that one has control over the events and outcomes in their life due to personal actions or characteristics.