We Assume That the Representative Consumer's Preferences Exhibit the Properties

question 60

Multiple Choice

We assume that the representative consumer's preferences exhibit the properties that

• A) they be convex and that more is always preferred to less.
• B) more is always preferred to less and that each consumer has one strictly favourite good.
• C) each consumer has one strictly preferred good and that consumption and leisure are both normal goods.
• D) consumption and leisure are both normal goods and that the consumer likes diversity in his or her consumption bundle.
• E) more is always preferred to less and that consumers do not like diversity in his or her consumption bundle.

---

Definitions:

Leading Indicator

A measurable economic factor that changes before the economy starts to follow a particular pattern or trend, used to anticipate changes.

HRM Evaluation

The process of examining and assessing the effectiveness of Human Resource Management practices and policies in achieving organizational goals.

Predicts Future

The act of forecasting or estimating future trends, behaviors, or events based on current or past data.

Labour Expenses

The total costs incurred by an organization in compensating its employees, including salaries, benefits, and other related expenses.