Consider Four Consumption Bundles, Denoted by A, B, C, and D

question 17

Multiple Choice

Consider four consumption bundles, denoted by A, B, C, and D. Which of the following sets of preference statements violates the transitivity assumption?

• A)D is preferred to C, C is preferred to B, B is preferred to A, C is preferred to A.
• B)A is preferred to B, B is preferred to C, C is preferred to D, A is preferred to C.
• C)D is preferred to B, C is preferred to A, A is preferred to B, B is preferred to C.
• D)A is preferred to C, B is preferred to A.

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