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Match the Imbalances, Labelled A

question 90

Multiple Choice

Match the imbalances, labelled a. through d., with the descriptions. (Options may be used more than once or not at all.)
-ECF and ICF become hypertonic.


Definitions:

Equivalent Variation

A monetary measure of the change in utility or satisfaction that a consumer experiences due to a change in prices, holding utility constant.

Consumption

The use of goods and services by households or individuals for personal satisfaction or need.

Utility Function

A mathematical representation of how a set of goods or services provide a level of satisfaction or utility to an individual or entity.

Compensating Variation

An economic concept representing the amount of money an individual would need to reach a level of utility as before an economic change.

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