John and Sally Have Identical Preferences Except Sally's Utility Units

question 76

Multiple Choice

John and Sally have identical preferences except Sally's utility units are exactly 10 times that of John's.Both have the same income and face the same prices.Choose the best response.

• A)John consumes 10 times the amount that Sally consumes.
• B)John receives 1/10 the satisfaction that Sally receives.
• C)Both will consume the same amount of all goods.
• D)John and Sally will have equal total utility.
• E)John and Sally will have equal marginal utility.

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Definitions:

Paid

Receiving money or compensation in exchange for work or services rendered.

Bilateral Authority

The power or governance shared by two parties, typically in the context of decision-making processes or agreements.

Managerial Authority

The power vested in managers to make decisions and direct subordinates in the organization to achieve company objectives.

Employee Voice

Refers to the ways in which employees can express their opinions, concerns, and suggestions to their employers, often through mechanisms like staff meetings or suggestion boxes.