Which of the Following Is Most Clearly Consistent with the Basic

question 133

Multiple Choice

Which of the following is most clearly consistent with the basic postulate of economics regarding the reaction of people to a change in incentives.

• A) Farmers produce fewer bushels of wheat in response to an increase in the price of wheat.
• B) People will buy more milk at a price of $2 per gallon than at $1 per gallon.
• C) People will buy less gas if the price of gas increases by $.20 per gallon.
• D) People will consume more beef if the price increases from $1 to $2 per pound.

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Definitions:

Erik Erikson

An influential psychoanalyst who proposed the theory of psychosocial development, focusing on the development and identity crises faced at different life stages.

Integrity Versus Despair

A conflict in late adulthood, as described by Erikson, involving reflecting on one's life and either achieving a sense of satisfaction or experiencing regret and despair.

Openness

A personality trait that reflects a person's willingness to experience new activities, ideas, cultures, and to think creatively or outside conventional boundaries.

Conscientiousness

A personality trait marked by diligence, care, and discipline in pursuing goals.