In Problem 2, Clara's Utility Function Is U(X, Y) =

question 5

Multiple Choice

In Problem 2, Clara's utility function is U(X, Y) = (X + 2) (Y + 1) . If Clara's marginal rate of substitution is -6 and she is consuming 8 units of good X, how many units of good Y is she consuming?

• A) 59
• B) 6
• C) 60
• D) 14
• E) 13

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Definitions:

Social Desirability

The behavior of those answering questions to do so in a manner they assume will generate favorable opinions from others.

Distinctiveness

A principle suggesting that an event or object is memorable or noticeable because it differs significantly from other events or objects.

Consistency

The principle of maintaining the same attitudes, beliefs, and behaviors over time, which contributes to the predictability and stability of one's actions.

Neuroticism

A personality trait characterized by a long-term tendency to be in a negative emotional state, including feelings of anxiety, depression, and emotional instability.