As an Individual Earns Additional Income,the Marginal Utility of Income

question 63

Multiple Choice

As an individual earns additional income,the marginal utility of income tends to

• A)Increase.
• B)Decrease.
• C)Remain constant.

---

Definitions:

Sensory Adaptation

The mechanism where sensory detectors decrease in sensitivity to unchanging stimuli as time progresses.

Priming

A psychological phenomenon in which exposure to one stimulus influences a response to a subsequent stimulus, without conscious guidance or intention.

Bottom-up Processing

An approach to processing information that begins with the sensory receptors and works up to the brain's integration of sensory information.

Context Effects

The influence of environmental factors on one's perception of a stimulus, affecting how the stimulus is processed and understood.