Which Statement Correctly Uses the Concept of a Household Budget

question 298

Multiple Choice

Which statement correctly uses the concept of a household budget constraint to explain the high level of consumer spending on days such as Black Friday in the United States or Singles' Day in China?

• A) Employers typically give employees big bonuses on those shopping days, so income increases and the budget line shifts outward.
• B) Consumers gain more utility from goods on those shopping days because they have greater need for the goods at that time of year.
• C) There is no change in the household budget line on those shopping days, but the price decreases cause consumer utility to increase on these days.
• D) Sellers reduce the prices of many products on those shopping days, effectively shifting the household budget line outward temporarily.

Know the variations in personality traits and disorders across the lifespan.

Acknowledge the influence of physical and experiential factors on personality development.

Understand key concepts and theories related to personality development.

Comprehend the strengths and limitations of different research methodologies in personality psychology.

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Definitions:

Negative Premise

A statement in a logical argument that denies something, either partially or completely.

Negative Conclusion

A conclusion that denies the truth of a statement or proposition, often found in logical arguments and deductive reasoning.

Validity

The quality of being logically or factually sound; in logic, refers specifically to arguments where the conclusion necessarily follows from the premises.

Internet Service Provider

A company that provides customers with access to the Internet.