Question Completion Status: QUESTION 1 1 points Save Answer Alicia has always been known among her peers in America as a rational person with well-behaved preferences. However, right now, she is in a restaurant in a foreign country and cannot decide what to have for lunch because she does not understand a word on the menu. Are Alicia's preferences well-behaved right now? O Yes, but we cannot be sure whether the assumption "more is better" holds. O No, they violate the completeness assumption since Alicia cannot rank the options on the menu. O Yes, if her preferences are well-behaved in America, they are well-behaved when she is abroad. O No, a rational person would have brought a dictionary. QUESTION 2 1 points Save Answer Ann and Beth are both rational consumers with well-behaved preferences. They are, as friends often will, discussing their preferences over baskets of apples and bananas. Ann says: "I would rather have basket A than basket B". What can we affirm about Beth's preferences? Basket A: 3 apples, 2 bananas Basket B: 2 apples, 3 bananas Basket C: 4 apples, 1 banana Basket D: 0 apple, 5 bananas O Beth prefers basket B to basket A, because different people must have different preferences. O Beth prefers Basket C to basket D, because any rational person prefers apples to bananas. O Beth prefers basket A to basket B. Since both friends are rational, they have the same preferences. O We cannot know, a priori, which basket she likes least. QUESTION 3 1 points Save Answer James and Lily are interested in comic books. Both are rational and have well-behaved preferences. The points on the graph are bundles of X-Men comics, X, and Batman comics, Y. About these bundles, select the correct alternative Click Save and Submit to save and submit. Click Save All Answers to save all answers. Save All Answers Save and Submit