Basket of Goods a Is on an Indifference Curve That

question 306

Multiple Choice

Basket of goods A is on an indifference curve that lies closer to the origin than basket B. From this we know that

• A) the prices of the goods in A are less than the prices of the goods in B.
• B) the satisfaction from consuming A is more than the satisfaction from consuming B.
• C) the marginal utility from consuming A is less than the marginal utility from consuming B.
• D) the satisfaction from consuming A is less than the satisfaction from consuming B.

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Definitions:

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The complex of nerve tissues that controls the activities of the body, comprising the brain and spinal cord.

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A mental disorder characterized by distorted thinking, perceptions, emotions, and behaviors.

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A neurotransmitter involved in controlling movement and posture, moderating mood, and affecting motivation and reward mechanisms in the brain.