-Adam Has 3 Apples and 3 Oranges

question 247

Multiple Choice

-Adam has 3 apples and 3 oranges. Eve has 2 apples and 2 oranges. The marginal utilities for Adam and Eve are summarized in the above table. Adam asks Eve to exchange one of her apples for an orange.

• A) Eve will be willing to make the exchange, because her total satisfaction will remain unchanged.
• B) Eve will be willing to make the exchange, because her total satisfaction will increase.
• C) Eve will be unwilling to make the exchange, because she loses 5 utils of satisfaction.
• D) Eve will be unwilling to make the exchange, because she loses 15 utils of satisfaction.

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Definitions:

Group Cohesiveness

The extent to which members of a group feel bonded or united, influencing the group's stability and the willingness of members to work together.

Experiencing Conflict

The process of recognizing and dealing with disagreements or divergences in opinions, interests, or values.

Disband

To formally dissolve a group, organization, or assembly, so that it no longer functions as a unit.

Interdependence

A relationship between entities where each depends on the other, often leading to mutual influence or reliance.