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Sophia is in the fifth grade and lives in one of the most impoverished areas in the state.She has a history of academic failure, although she is very sensitive to teacher expectations.Her teachers have noticed that she responds best when candy is offered as an incentive instead of verbal praise.Sophia's IQ is 65.She is most likely a victim of
Rational Consumer
An individual who systematically pursues their self-interest by making decisions that maximize their utility and satisfaction.
Highest Indifference Curve
The indifference curve that represents the highest level of satisfaction or utility reachable for a consumer given their budget constraints.
Budget Line
A graphical representation of all possible combinations of two goods that an individual can afford to purchase at given prices and income level.
Money Income
The total amount of monetary earnings received by an individual or household, including wages, salaries, benefits, and income from investments.
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