In 2010, the Average Household Spent $1,178 on Telephone Services

question 48

Multiple Choice

In 2010, the average household spent $1,178 on telephone services and $333 on nonalcoholic drinks. From this information, we can conclude that:

• A) the substitution effect of a price change will be larger for telephone services than for nonalcoholic drinks.
• B) an increase in the price of telephone services will cause a larger income effect than a similar increase in the price of nonalcoholic drinks.
• C) an increase in the price of nonalcoholic drinks will cause a larger income effect than a similar increase in the price of telephone services.
• D) the substitution effect of a price change will be larger for nonalcoholic drinks than for telephone services.

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Definitions:

Unconditional Positive Regard

Approval granted regardless of a person’s behavior. In Rogers’s person-centered therapy, the therapist offers the client unconditional positive regard.

Organismic Valuing Process

A concept in psychology suggesting that individuals naturally move towards growth and fulfillment, guided by their own intrinsic values.

Unconditional Positive Regard

A concept in client-centered therapy involving total acceptance and support of a person regardless of their behavior or feelings.

Conditions of Worth

Refers to the criteria set by external sources, such as parents or society, that individuals believe they must meet to be valued or loved.