Which one of the following statements is TRUE?
A) The law of diminishing marginal utility does not apply to fashion items that are relatively new on the market.
B) The law of diminishing marginal utility does not apply to expensive items, such as cars, houses, and exotic vacations.
C) Consumers consider the expected marginal utility from a good in deciding whether to buy it.
D) Consumers will only buy goods which are not subject to diminishing marginal utility.
Correct Answer:
Verified
Q37: Lucy gets a bad haircut and afterwards
Q38: Economic theory asserts that
A) when marginal utility
Q39: Economic theory asserts that
A) if there is
Q40: The law of diminishing marginal utility
A) asserts
Q41: Utility is a term economists use to
Q43: The price elasticity of demand is affected
Q44: What would cause demand to be fairly
Q45: What is held constant as we measure
Q46: The price elasticity of demand measures
A) changes
Q47: The price elasticity of demand measures
A) changes
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