Bollinger and Colleagues (2011) Found That Posting Calorie and Nutritional

question 2

Multiple Choice

Bollinger and colleagues (2011) found that posting calorie and nutritional information at Starbucks caused customers to ______.

• A) avoid high-calorie beverage toppings and syrups
• B) choose lower-calorie food options
• C) avoid the restaurant altogether
• D) spend less money each time they visited the restaurant

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Definitions:

Marginal Utility

The added satisfaction that a consumer gains from consuming one more unit of a good or service.

Risk-averse

A characteristic of individuals or entities that prefer to avoid risk in investment choices, opting for safer, less uncertain options.

Fair Bet

A gambling term where the expected return is equal to the original stake, with no advantage for the house or the bettor.

Expected Value

The calculated average of all possible values for a random variable, weighted by their respective probabilities.