Marginal Utility Theory Predicts That If a Consumer's Income Decreases

question 122

Multiple Choice

Marginal utility theory predicts that if a consumer's income decreases, the consumer

• A) buys fewer normal goods.
• B) buys fewer inferior goods.
• C) buys more of all goods.
• D) might either increase or decrease purchases of normal goods.

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Definitions:

Tilted Layers

Geological strata that have been shifted from their original horizontal position, often as a result of tectonic forces, creating an angle with the horizontal.

Superposition

A principle stating that in an undisturbed sequence of rocks, layers of rock were deposited in order from bottom to top according to their age.

Cross-Cutting

Relates to geological features that intersect or cut across other geological formations, indicating a relative age relationship.

Inclusions

Pieces of one rock unit that are contained within another, indicating that the included pieces are older than the host rock.