Vignette #1 Maya and Bob Have Been Married for 5

question 85

Multiple Choice

Vignette #1 Maya and Bob have been married for 5 years, have graduated from college, and have decided to start a family. Maya's mother gives her a book, How to Have a Successful Pregnancy . Bob and Maya are eager to start reading the book and give their baby the best start in life possible. Let's see how much you already know by answering the following questions.
Maya takes Accutane (isotretinoin) for acne and hopes to continue using it during her pregnancy. What advice would you give her?

• A) Stop taking it immediately as it causes major birth defects, and consult your doctor.
• B) Continue taking it as it won't affect the outcome of the pregnancy.
• C) Take half the usual dose and stay out of direct sunlight.
• D) Stop taking it until after the first trimester; then it is safe to resume again.
• E) Replace the Accutane with an herbal product since this would be a safe, natural alternative.

Identify and interpret perfect substitutes and perfect complements in the context of consumer preferences.

Understand the impact of changes in income on the consumption of normal and inferior goods.

Apply the concept of utility maximization to determine the optimal choice of goods within a budget constraint.

Recognize the effect of price changes on the optimal choice point and consumer welfare.

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Definitions:

Damages

Financial compensation awarded by a court to indemnify loss or harm suffered as a result of another party's actions or negligence.

Standing

The legal right to initiate a lawsuit, predicated on the party's stake in the outcome of a dispute to be adjudicated by the court.

In Personam Jurisdiction

A judicial jurisdiction over the person, where the court has the authority to make decisions affecting the personal rights of an individual.

Long-Arm Statute

A statute that enables a court to obtain jurisdiction against an out-of-state defendant as long as the defendant has sufficient minimum contacts within the state, such as committing a tort or doing business in the state.