Joining the Index Finger and Thumb to Form an "O

question 4

Multiple Choice

Joining the index finger and thumb to form an "O" means "ok" in the U.S., but in Brazil or Germany it is ________.

• A) a sign of indifference
• B) a sign of friendship
• C) meaningless
• D) an insult.

---

Definitions:

Indifference Curves

Graphical representations in economics showing combinations of goods among which a consumer is indifferent, meaning they have no preference for one combination over another.

Pareto Optimal

A state of allocation of resources from which it is impossible to reallocate to make any one individual or preference criterion better off without making at least one individual or preference criterion worse off.

Marginal Utility

The additional satisfaction or utility that a consumer receives from consuming an additional unit of a good or service.

Pareto Optimal

A state of allocation of resources in which it is impossible to make any individual better off without making at least one individual worse off.