The Only Quantities of Good 1 That Tomoko Can Buy

question 100

Multiple Choice

The only quantities of good 1 that Tomoko can buy are 1 unit or 0 units.For all positive values of x₂, Tomoko's preferences are represented by the utility function (x₁ + 14) (x₂ + 16) .If her income is $20 and the price of good 2 is $1, then Tomoko's reservation price for good 1 is

• A)$.88.
• B)$8.50.
• C)$2.40.
• D)$4.80.
• E)$1.04.

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Definitions:

Operant Conditioning

An approach to training in which the vigor of a conduct is influenced by offering reinforcements or enforcing sanctions.

Classical Conditioning

A training technique involving the repetitive pairing of two stimuli; a reaction initially caused by the second stimulus is ultimately provoked by just the first stimulus.

Dissociative Disorders

A group of mental disorders characterized by a voluntary disconnection and lack of continuity between thoughts, memories, surroundings, actions, and identity.

Consciousness

the state of awareness of one's own existence, sensations, thoughts, surroundings, and experiences.