Consumer Theory Quiz PDF

As the price of a good decreases, the quantity demanded decreases, all else being equal.

As the price of a good increases, the quantity demanded increases, all else being equal.

As the price of a good increases, the quantity demanded decreases, all else being equal. (correct)

As the price of a good decreases, the quantity demanded increases, all else being equal.

The study of how consumers allocate their income to maximize utility. (correct)

The study of how government policies impact consumer behavior.

The study of how consumer preferences are formed.

The study of how producers allocate their resources to maximize profit.

The satisfaction gained from consuming the first unit of a good or service.

The total satisfaction gained from consuming a good or service.

The additional satisfaction gained from consuming one more unit of a good or service. (correct)

The average satisfaction gained from consuming a good or service.