When Sally Increases the Consumption of Pizza and Decrease the Consumption

question 175

Multiple Choice

When Sally increases the consumption of pizza and decrease the consumption of soda, her marginal utility of

• A) pizza falls and the marginal utility of soda will increase.
• B) both pizza and soda will decrease.
• C) pizza increases and the marginal utility of soda will fall.
• D) both pizza and soda will increase.

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Definitions:

Best Knowledge

The highest level of understanding or expertise that an individual or collective has on a particular subject at a given time.

Proximity Law

A principle in psychology stating that objects that are near to each other tend to be perceived as a unified group.

Perceptual Whole

The concept in Gestalt psychology that emphasizes the human tendency to perceive complete patterns or configurations, not merely as individual components.

Component Parts

Component parts refer to the individual pieces or elements that make up a larger system, machine, or assembly, each serving a specific function within the whole.