Assume That a Consumer Has a Given Budget or Income

question 9

Multiple Choice

Assume that a consumer has a given budget or income of $12 and that she can buy only two goods, apples or bananas. The price of an apple is $1.50 and the price of a banana is $0.75. This means that, in order to buy two bananas, this consumer must forgo

• A)1 apple.
• B)1.5 apples.
• C)0.5 apples.
• D)0.75 apples.

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Definitions:

Reserved Powers

Denotes powers that are not explicitly delegated to the national government by the constitution, thus remaining with the state governments.

First Amendment

An amendment to the U.S. Constitution that guarantees freedoms concerning religion, expression, assembly, and the right to petition.

Absolute Rights

Fundamental rights that are universally recognized and protected, often considered inherent to human dignity and not subject to being taken away or abridged by laws.

Police Power

Power retained by each state to pass laws that protect the health, safety, and welfare of its citizens.