Question: Does the utility function V(Z, B) = + [U(Z, B)] 2 give the same ordering of bundles as does U(Z, B)? it, they are

Does the utility function V(Z, B) = α + [U(Z, B)]give the same ordering of bundles as does U(Z, B)? it, they are less sensitive to price changes and hence less likely to trade than would be predicted by the standard economic model. Consumers sometimes ignore sales taxes when making purchasing decisions.

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