In Problem 3, Suppose Sam, a Typical Citizen, Has the Utility

question 19

Multiple Choice

In Problem 3, suppose Sam, a typical citizen, has the utility function U(m, d, h) = m + 13d² - d² - 6h, where d is the number of hours per day that he spends driving around, h is the average number of hours per day spent driving around by other people in his home town, and m is the amount of money he has left to spend on other stuff besides gasoline and auto repairs. Gas and auto repairs cost $1 per hour of driving. If each citizen believes that their own driving will not affect the amount of driving done by others, they will all drive D₁ hours per day. If all citizens drive to maximize the utility of a typical citizen, they will all drive D₂ hours per day, where

• A) D₁ = 8 and D₂ = 4.
• B) D₁ = 6 and D₂ = 3.
• C) D₁ = D₂ = 6.
• D) D₁ = 9 and D₂ = 0.
• E) D₁ = 6 and D₂ = 1.

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Definitions:

Ethnic Characteristics

Traits or features that are associated with or characteristic of a particular ethnic group.

Self-Concept

An individual's perception of themselves, including their beliefs, feelings, and thoughts about their own abilities, appearance, and value.

Criticism

The expression of disapproval of someone or something based on perceived faults or mistakes.

Self-Enhancement

is the tendency for individuals to adopt strategies or behaviors that serve to maintain or increase their self-esteem and overall view of themselves.