Question

Dana has standard consumer preferences over two goods: hours spent watching football (W

) and hours spent playing football (P

). He is indifferent between the bundles:A=(2W,1P)

andB=(1W,2P)

. He is offered a third bundleC=(1.5W,1.5P)

Based on the preference assumptions, what might we say about Dana's preferences for C relative to A or B?

(Select each correct answer.)

Dana might prefer C to A, and C to B

Dana might prefer C to A, and A to B

Dana might prefer C to A, and B to C

Dana might prefer A to C, and B to C

Dana might be indifferent between C, A, and B