Suppose Sally Allocates Her Budget Between Two Goods,A and B

question 80

Multiple Choice

Suppose Sally allocates her budget between two goods,A and B.She spends her entire income on a combination of A and B,for which the ratio of the marginal utility of Good A to its price exceeds the ratio of the marginal utility of Good B to its price.She can increase her total utility by buying _____

• A)more A and less B.
• B)more B and less A.
• C)more A without changing her consumption of B.
• D)less B without changing her consumption of A.
• E)more B and more A.

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Definitions:

Psychological Empowerment

Refers to the process through which individuals gain control over their work life, leading to increased motivation, confidence, and meaning in their work.

Psychological Commitment

An individual's emotional or mental attachment to an organization, goal, or cause.

Psychological Fulfillment

A state of experiencing satisfaction and completeness in one's mental and emotional aspects, often related to achieving desired goals or fulfilling personal needs.

Servant Leadership

A leadership philosophy that emphasizes the importance of serving others, prioritizing the welfare of the team, and fostering a sense of community.