In the Utility Maximising Model, Consumer Preferences Are Assumed to Be

question 185

Multiple Choice

In the utility maximising model, consumer preferences are assumed to be transitive. What does this mean?

• A) that consumers prefer more of a good to less
• B) that consumers have the freedom to change their preferences from time to time
• C) that consumers have preferences that are relatively consistent in the time period under consideration
• D) that consumers go through cycles in their consumption behaviour

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Definitions:

Profit Sharing Plan

A company program that gives employees a share in the profits, incentivizing performance and aligning their interests with the company's success.

Job Specialization

The process of focusing one's occupational concentration on a specific area of expertise, improving efficiency and proficiency.

Task Specialization

The process of focusing individual or group efforts on a narrowly defined aspect of a job to increase efficiency and expertise.

Work Repetitive

Tasks or jobs that involve performing the same functions or processes over and over again, often leading to monotony.