Revealed Preferences Tells Us That If Basket a and Basket

question 38

Multiple Choice

Revealed preferences tells us that if basket A and basket B lie on the same budget constraint but the consumer chooses B instead of A , then we know that

• A) A is strictly preferred to B .
• B) A is preferred to B .
• C) B is strictly preferred to A .
• D) B is preferred to A .

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Definitions:

Abnormal Behavior

Patterns of action or behavior that are atypical, significantly deviate from societal norms, and may impair functionality.

Self-defeating

Behaviors or thought patterns that undermine one's own success or well-being.

Cognitive Model

A theoretical construct that represents how cognitive processes work to help us understand and predict behavior.

Maladaptive Behavior

Actions or tendencies that are counterproductive to oneself or others, often negatively impacting functioning and well-being.