Eric Is Not Sure He Knows What He Wants to Do

question 27

Multiple Choice

Eric is not sure he knows what he wants to do when he graduates high school. He feels this is an unimportant issue that only his parents are concerned about. Eric is in which one of Marcia's stages?

• A) achievement
• B) diffusion
• C) foreclosure
• D) moratorium

---

Definitions:

Marginal Rate

The rate at which one variable changes over the change in another variable, often used in the context of taxes or marginal rate of substitution in economics.

Substitution

The economic concept whereby consumers replace costlier items with less expensive alternatives, or firms switch between inputs to minimize costs.

Indifference Curves

A graph showing different bundles of goods between which a consumer is indifferent, representing equal levels of utility.

Income Effect

Adjustments in the financial earnings of an individual or an economy and the corresponding effect on the quantity of goods or services demanded.