Use the Indifference Curves and the Budget Lines in Figure

question 37

Multiple Choice

Use the indifference curves and the budget lines in Figure 19.3 to answer the indicated question.Assume the price of Y is $1 per unit.In Figure 19.3,point E

• A)Is optimal and affordable.
• B)Gives the consumer a very high level of utility and is affordable.
• C)Is a high level of utility but not affordable.
• D)Represents a very low level of utility and is not desirable.

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Definitions:

Opiate

A type of narcotic derived from opium used for its pain-relieving properties; often refers to drugs that act on the opioid receptors.

Psychoactive Drug

A chemical substance that changes brain function and results in alterations in perception, mood, consciousness, cognition, or behavior.

GABA

Gamma-Aminobutyric Acid, an inhibitory neurotransmitter in the brain that helps regulate neural activity.

Psychological Addiction

A form of addiction characterized by a perceived need to use a substance or engage in an activity to achieve a sense of satisfaction or to avoid discomfort, without the physiological dependence associated with substance abuse.