Which of the following prices could represent Eli's willingness to pay for a baseball glove if he observed the market price of $43 and decided not buy one?
A)$37
B)$45
C)$50
D)None of these could represent Eli's willingness to pay.

Question

Quizplus · Accepted Answer

Eli's willingness to pay is the maximum amount of money he is willing to spend on a baseball glove. If he observed the market price of $43 and decided not to buy one, it indicates that his willingness to pay is below $43. The only price among the given options that is below $43 is $37, so it could represent Eli's willingness to pay. The other options are equal to or greater than the market price, which means he would have been willing to pay more than the market price if he had bought the glove at those prices.

Which of the Following Prices Could Represent Eli's Willingness to Pay