In the Context of Consumer Choice Theory, Utility Means

question 153

Multiple Choice

In the context of consumer choice theory, utility means:

• A) usefulness.
• B) satisfaction.
• C) practicality.
• D) boring.
• E) action.

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Definitions:

FICA

FICA stands for the Federal Insurance Contributions Act and is a United States federal payroll tax that funds Social Security and Medicare programs.

Payroll Tax

A tax on the earnings an employer pays to an employee.

Burden Of The Tax

The burden of the tax refers to the impact of a tax on the economic welfare of stakeholders, indicating who ultimately bears the cost of the tax.

Elasticity Of Demand

A measure of how much the quantity demanded of a good responds to a change in the price of that good, quantitatively measured as the percentage change in quantity demanded relative to a percentage change in price.