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During her presentation to a prospective customer,Lea informed him about the new wallboard's superiority.She also brought along a sample so that the building contractor could see and feel the superiority of the product she was selling.Lea used a _____ to improve the buyer's understanding of her product.
Utility Maximization
A theory in economics that suggests consumers will allocate their resources to maximize their utility or satisfaction given their income and the prices of goods and services.
Consumption Good
A good that is utilized by consumers to satisfy their current wants or needs.
Utility Function
A mathematical representation of how consumers rank different bundles of goods or services according to their level of satisfaction or utility.
Budget Constraint
The limitation on the consumption bundles that a consumer can afford given their income and the prices of goods.
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