-Refer to Table 4.1.If Mike starts with 4 CDs and 1 economics book,would he be willing to trade one CD for two economics books?
A) Yes, because the bundle with 3 CDs and 2 economics books is ranked higher than the bundle with 4 CDs and 1 economics book
B) No, because the bundle with 2 CDs and 3 economics books is ranked higher than the bundle with 4 CDs and 1 economics book
C) Yes, because the bundle with 4 CDs and 1 economics book is ranked higher than the bundle with 3 CDs and 2 economics books
D) No, because the bundle with 4 CDs and 1 economics book is ranked higher than the bundle with 3 CDs and 2 economics books

Question

-Refer to Table 4.1.If Mike starts with 4 CDs and 1 economics book,would he be willing to trade one CD for two economics books?
A) Yes, because the bundle with 3 CDs and 2 economics books is ranked higher than the bundle with 4 CDs and 1 economics book 
B) No, because the bundle with 2 CDs and 3 economics books is ranked higher than the bundle with 4 CDs and 1 economics book 
C) Yes, because the bundle with 4 CDs and 1 economics book is ranked higher than the bundle with 3 CDs and 2 economics books 
D) No, because the bundle with 4 CDs and 1 economics book is ranked higher than the bundle with 3 CDs and 2 economics books

Quizplus · Accepted Answer

Without access to Table 4.1, the correct answer is inferred based on the logic of preference ranking in economics. If the bundle with 3 CDs and 2 economics books is ranked higher than the bundle with 4 CDs and 1 economics book, it implies that Mike values the additional economics book more than the CD he gives up, making him willing to make the trade.