Figure 21-24 the Figure Shows Three Indifference Curves and a Budget

question 9

Multiple Choice

Figure 21-24 The figure shows three indifference curves and a budget constraint for a certain consumer named Steve.
-Refer to Figure 21-24. At his optimum, Steve is willing to give up about

• A)0.75 pounds of pears for 1 pound of apples.
• B)0.75 pounds of apples for 1 pound of pears.
• C)1.20 pounds of pears for 1 pound of apples.
• D)1.20 pounds of apples for 1 pound of pears.

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Definitions:

Self-fulfilling Prophecy

A belief or expectation that an individual or group holds about a future event that manifests because the individual or group acts in ways that support the belief or expectation.

Theory X

A management assumption that employees are inherently lazy, require close supervision and control, and are motivated primarily by financial incentives.

Theory Y

A management approach based on the belief that employees are intrinsically motivated and will seek out responsibility and development if given the opportunity.

Self-fulfilling Prophecies

Situations where an initially false expectation leads to its own confirmation because the expectation influences behavior to make it true.