Nudging Happens When Subtle Cues Are Used to Help Consumers

question 17

Multiple Choice

Nudging happens when subtle cues are used to help consumers make choices that are

• A) conservative.
• B) based on value.
• C) innovative.
• D) better for them.

---

Definitions:

Demand Curve

A graphical representation showing the relationship between the price of a good and the amount of it that consumers are willing and able to purchase at each possible price.

Marginal Revenue

The increase in total revenue that results from selling one additional unit of a product or service.

Marginal Revenue Curve

A graphical representation showing how marginal revenue varies with changes in quantity sold.

Demand Curve

A graph showing the relationship between the price of a good and the quantity demanded by consumers at each price level.