If Two Services Provide the Same Amount of Satisfaction or Utility

question 24

Multiple Choice

If two services provide the same amount of satisfaction or utility, the consumer is said to display:

• A) constant marginal utility.
• B) indifference.
• C) cardinal utility.
• D) ordinal utility.

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Definitions:

Injured Third Party

An Injured Third Party refers to someone who is not part of a contract but suffers harm or loss due to the actions of one who is party to the contract.

Tortious Conduct

Involves actions or omissions that wrongfully harm others and may give rise to liability under tort law.

Principal Directly

Pertains to actions or decisions made by the main party involved in a contract or legal agreement, without intermediaries.

Negligent

Failing to take appropriate care in doing something, which results in damage or harm to another party.