In the Utility Maximising Model, Consumer Preferences Are Assumed to Be

question 127

Multiple Choice

In the utility maximising model, consumer preferences are assumed to be transitive.What does this mean?

• A)That consumers prefer more of a good to less
• B)That consumers have the freedom to change their preferences from time to time
• C)That consumers have preferences that are relatively consistent in the time period under consideration
• D)That consumers go through cycles in their consumption behaviour

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Definitions:

Speed

The rate at which an object moves, calculated as distance traveled per unit of time.

\(f ( x )\)

A symbolic representation of a function in terms of \(x\), where \(f\) denotes the function and \(x\) represents the variable.

Graph

A diagram representing mathematical relationships between variables, typically plotted with an x-axis and a y-axis.

\(f ( x )\)

Denotes a function of x, illustrating the relationship between x and its induced value.