A Class System Employs a Social Ranking Based Primarily on

question 51

Multiple Choice

A class system employs a social ranking based primarily on

• A)age.
• B)caste.
• C)economic position.
• D)religious and ethnic background.

Understand and apply the concept of consumer surplus.

Explain the law of diminishing marginal utility.

Interpret demand and utility data to determine consumer surplus changes with price variations.

Describe the impact of pricing on consumer surplus.

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Definitions:

Actor-Observer Bias

This psychological bias describes a tendency to attribute one’s own actions to external factors, while attributing others’ actions to their character or disposition.

Self-Serving Bias

A common cognitive bias that causes individuals to attribute positive outcomes to their own characteristics and negative outcomes to external factors.

Fundamental Attribution Error

A cognitive bias that leads people to overemphasize personal traits and underestimate situational factors when explaining others' behaviors.

Self-Serving Bias

A cognitive bias that involves attributing successes to internal factors and failures to external factors to maintain self-esteem.