Consumer preferences:
A)are fixed exogenously and unchanging in reality.
B)indicate how a consumer would rank any two possible baskets of goods, taking into account her budget constraint.
C)indicate how a consumer would rank any two possible baskets of goods, taking into account the current prices of those goods.
D)indicate how a consumer would rank any two possible baskets of goods, assuming that the baskets were available to the consumer at no cost.

Question

Quizplus · Accepted Answer

Consumer preferences are about ranking baskets of goods based on personal satisfaction or utility, assuming no cost or budget constraints.

Consumer Preferences