Suppose When the Price of Laptops Fall, University Students Buy

question 128

Multiple Choice

Suppose when the price of laptops fall, university students buy more laptops.This implies that

• A)there is a positive relationship between laptop prices and quantities purchased by college students.
• B)there is a negative relationship between laptop prices and quantities purchased by college students.
• C)there is a direct relationship between laptop prices and quantities purchased by college students.
• D)there is a one-to-one relationship between laptop prices and quantities purchased by college students.

---

Definitions:

Utility Function

An equation that quantifies the satisfaction or utility that a consumer derives from consuming a set of goods and services, enabling analysis of consumer choices.

Consumption

The employment of products and services by individual consumers or households.

Utility Function

A mathematical representation expressing a consumer's preference ranking system for different bundles of goods, measuring satisfaction derived from consumption.

Consumptions

The use of goods and services by households or an economy, including the process by which commodities are utilized to satisfy needs or desires.