The Assumption of Transitivity of Preferences States That _____

question 28

Multiple Choice

The assumption of transitivity of preferences states that _____.

• A)a consumer can rank all possible consumption bundles
• B)consumers act rationally when choosing between consumption bundles
• C)more of a good is always better
• D)no two bundles can yield the same level of utility

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Definitions:

Culture

A society’s or group’s total way of life, including customs, traditions, beliefs, values, language, and physical products—all learned behavior, passed on from parents to children.

Subculture

describes a group within a larger culture that differentiates itself through distinct beliefs, behaviors, or interests, often having its own norms and values.

Naturalistic Observation

Research method in which behavior is studied in natural settings without intervention or manipulation.

Observer Bias

A form of bias that occurs when the presence or expectations of the observer inadvertently influence the behavior of subjects or interpretation of data.