Which of the following mistakes do consumers commonly commit when making decisions? OA. They take into account monetary costs but ignore nonmonetary opportunity costs. B. They are unrealistic about their future behavior. OC. They fail to ignore sunk costs. D. All of the above are mistakes consumers commonly commit when making decisions.
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- QUESTION 19 If one fails to account for implicit costs in decision making, then the cost-benefit rule will be flawed because, O A. the costs will be overstated O B. the costs will be understated C. the benefits will be overstated D. the benefits will be understated.1. Why there are strong similarities between the optimizing decisions made by firms and those made by consumers? Explain. 2. Why it is important for managers to be able to identify which costs are fixed, which are variable, and which are sunk? Explain.3. What are the benefits to make rational decision?
- Which of the following is one of the four economic principles of individual decision making? O Rational people make decisions based on average costs and benefits. O Rational people respond to incentives in predictable ways. The cost of something is the amount of money you pay to get it. O Both b and care correct. O a, b, and c are all correct.What is the set of techniques in the making of decisions, which compares the costs and benefits, but looks at them subjectively and does NOT translate all concerns into market (dollar) terms? O Cost-Benefit Analysis O Cost-Effective Analysis O Co-Payment O Just ask your economics professor.The condition that arises because the availableresources are insufficient to satisfy wantsSelect one:O aa. ScarcityO b. DeflationO c. CredibilityO d. Rationality
- Kal needs to hire a new landscaping service to take care of the small garden outside his office. He knows what tasks he wants done and how much he is willing to pay per week, and he hires the first service that agrees to his terms. Such an action is referred to as O Optimizing Framing O Satisficing O Minimizing O Maximizing Question 13 Feelings that are intense, short-term, and are clearly caused by an eventare called O Withdrawal Moods O Satisfaction O Trait affect O Emotions Question 14 In decision making, illusion of control, discounting the future, and framing effects are all examples of * Psychological biases O Social realities O Time pressures O Goal displacement O VieilanceASAP DECİSİON RULE FOR UTİLİTY MAXİMİZATİON As I understand we choose the good which has higher marginal utility per dollar . BUT MY QUESTİON İs that What if our budget is not end up and the marginal utility per dollar is same for both good What should we do at that point? PLEASE ANSWER MY QUESTİON DONT GİVE CLLASİC DEFİNİTİONA rational decision-maker takes an action only if the Select one: a. average benefit is greater than the average cost O b. marginal benefit is greater than both the average cost and the marginal cost Oc marginal benefit isgreater thanthe.marginal cost O d. marginal benefit is less than the marginal cost age ter4 ELAST CTYAND ITS APPLICATION TAutosaved.
- Question 3 Saved According to the rational choice model which of these two events should be valued more by rational consumers: (A) gift of mug valued at $10, (B) finding the mug that you thought was lost, which cost you $10 to purchase. O a) Event A O b) Event B c) Both events should have the same value O d) There is really no way to rationally decide Previous Page Next Page Page 3 of 15 Submit Quiz 15 of 15 questions savedUsing marginal thinking, if you were deciding whether to purchase a second television set, you would compare Select one: a. the additional benefits of the second television with the cost of the second television. O b. the dollar cost of the two televisions with the time you will lose watching the two televisions. C. the total benefits expected from the two televisions with the cost of both televisions. O d. the additional benefits expected from a second television with the cost of the two televisions. O e. the dollar cost of the second television with the dollar cost of the first television.Mega Partner is selling two products Marker(m) and Eraser(e) and their budget is given with thefollowing equation: 15Qe+ 30Qm= 3000. Now answer the following questions. I. Draw the budget line for Mega PartnerII. What would be the highest amount spend on Marker with the existing budgetIII. If Total budget increases to 4500 what would be the new budget line (use diagram)IV. If Price of the Marker becomes 15, how this changes the existing budget line keeping allthe values remain same.