A consumer who pays extra to shop at an IGA grocery store and avoid Walmart exhibits a

Question

Quizplus · Accepted Answer

"Revealed preference" refers to the idea that the choices consumers make reflect their actual preferences and values. In this case, the consumer is willing to pay extra to shop at IGA instead of Walmart, which reveals their preference for the quality or experience offered by IGA. This does not necessarily indicate compulsive behavior, irrationality, or inefficiency in decision-making.

A Consumer Who Pays Extra to Shop at an IGA