Suppose That There Are Two Cities That Are Alike in Every

question 75

Multiple Choice

Suppose that there are two cities that are alike in every way except that one city has significantly better weather than the other city. Call the city with good weather Good-Weather City (GWC) and the other Bad-Weather City (BWC) . Assume that the median price of a home in the two cities is originally the same. If the marginal utility of living in GWC is 500 and the marginal utility of living in BWC is 300, to make themselves better off economic theory tells us that

• A)at least some people will move from BWC to GWC, which will make housing prices rise in GWC and BWC.
• B)at least some people will move from GWC to BWC, which make housing prices rise in BWC and GWC.
• C)at least some people will move from BWC to GWC, which will make housing prices rise in GWC and fall in BWC.
• D)at least some people will move from GWC to BWC, which will make housing prices rise in BWC and fall in GWC.

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Definitions:

Self-motivated

Having the personal drive or inner willingness to undertake activities without external encouragement.

Maslow's Hierarchy

A framework for understanding human motivation based on a progression of needs, ranging from physiological, safety, love/belonging, esteem, to self-actualization.

Deficit Principle

A concept in motivation theory suggesting that a satisfied need no longer motivates, emphasizing that only unmet needs influence behavior.

Progression Principle

A training principle that emphasizes the need for an increasing overload to stimulate continued improvement and adaptation in physical fitness or skill development.