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Anne Has Chosen How Many Bagels and How Many Units

question 112

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Anne has chosen how many bagels and how many units of cream cheese she would buy this month.She has $20 to spend on these two goods.Suppose that her chosen combination,the marginal benefit per dollar for bagels is $6,and her marginal benefit per dollar for cream cheese is $10.By reallocating one dollar from ________ to ________ she can add ________ to her benefit.


Definitions:

Drive

An internal state of tension or arousal that is brought about by an underlying need and that an organism is motivated to reduce.

Tension

The state of being stretched tight, which can refer to physical objects or describe psychological strain and stress.

Homeostasis

The natural tendency of the body to maintain a balanced internal state in order to ensure physical survival.

Intrinsic

Refers to motivation or value that is driven by an interest or enjoyment in the task itself, rather than relying on external pressures or rewards.

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