Figure 27-5

question 103

Multiple Choice

Figure 27-5.The figure shows a utility function for Dexter.
-Refer to Figure 27-5.From the appearance of the graph,we know that

• A)Dexter's level of satisfaction increases by more when his wealth increases from $1,001 to $1,002 than it does when his wealth increases from $1,000 to $1,001.
• B)Dexter's level of satisfaction increases by less when his wealth increases from $1,001 to $1,002 than it does when his wealth increases from $1,000 to $1,001.
• C)Dexter's level of satisfaction increases by the same amount when his wealth increases from $1,001 to $1,002 as it does when his wealth increases from $1,000 to $1,001.
• D)None of the above answers can be inferred from the appearance of the utility function.

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Definitions:

Variability

Variability refers to the degree of dispersion or spread of data points within a dataset, indicating how much the data points differ from each other and from the mean.

Range

The difference between the highest and lowest values in a set of data, indicating the spread of the data.

Highest Score

The maximum score obtained in a set of observations, test results, or other forms of measurement.

Central Tendency

A statistical measure that identifies the middle or central value of a data set, represented by mean, median, or mode.