Figure 21-16 The Following Figure Illustrates the Preferences of a Representative Consumer

question 127

Multiple Choice

Figure 21-16
The following figure illustrates the preferences of a representative consumer, Nathaniel.
-Refer to Figure 21-16. A change in Nathaniel's optimum from point A to point B results from

• A)a change in Nathaniel's preferences.
• B)an increase in the income Nathaniel receives when he is young.
• C)an increase in the interest rate.
• D)a decrease in the interest rate.

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Definitions:

Ethnocentric

The belief in the inherent superiority of one's own ethnic group or culture, often accompanied by a disdain for other cultures.

Geocentric

Pertains to considering the earth as the center, often related to business strategies that adopt a global approach irrespective of national boundaries.

Ethnorelative

pertains to an understanding and appreciation of cultural differences, promoting a positive and inclusive attitude towards diverse cultural backgrounds.

Polycentric

A term in international business denoting a strategy where a company adapts its products and services to each local market it operates in, respecting local customs and culture.