Refer to the Data for a Utility-Maximizing Consumer Whose Income

question 41

Multiple Choice

Refer to the data for a utility-maximizing consumer whose income = $4. Assume that new product Z doesn't exist. How many units of X and Y will this consumer buy, given his or her $4 budget?

• A)1 of X and 3 of Y
• B)3 of X and 1 of Y
• C)2 of X and 2 of Y
• D)0 of X and 4 of Y

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Definitions:

Olfactory Inhibition

The decrease in the ability to perceive odors, which can occur temporarily due to factors such as nasal congestion or more permanently from certain neurological conditions.

Delusion

A false belief firmly held despite clear evidence to the contrary, often a symptom of psychiatric disorders such as schizophrenia.

Hallucination

A perceptual experience during wakefulness without external stimuli, often involving sight or sound that seems real but is not.

Paranoia

A mental condition characterized by delusions of persecution, unwarranted jealousy, or exaggerated self-importance, often disconnected from reality.