29. 30. 31. 32. 33. How does consumer choice theory explain the shape of the demand curve? a. The goal of the consumer is to maximize utility. b. Utility or satisfaction is gained by consuming goods and services. 0. Additional units of a good are worth less and less to the consumer. d. The consumer can rank their preferences over different bundles of goods. Utility is a. measurable in units called utils b. inherently umeasurable but can be approximated as utils c. inherently immeasurable but can be approximated by willingness to pay d. the source of value for consumers The Diamond~Water Paradox of value is solved by considering the a. utility of the water and diamonds in total b. marginal utility of the last unit of diamonds and the last unit of water c. uses of the two goods d. labor required to acquire a unit of diamonds or a unit of water If I spend my time and money going to cheer on Kim Mulkey and the Lady Bears, it must be that a. i am trying to maximize my marginal utility b. my preferences are ordered according to rational expectations c. there is a risk that I'll be disappointed d. I expect greater increase in my total utility doing that than spending my time and money on anything else Which of the following would not affect a good '5 price elasticity of demand? a. if the good becomes more of a necessity if the cost of producing the good increases if more substitute goods come on the market 9953' if the budget tightens and the good takes up a bigger portion of the total budget