• Behavioral economics research suggest that the intensity of losses versus gains follows no measurable pattern.
Tony ran a marathon in 4 hours; his performance last year on the same course was 4.5 hours. Stacey ran the same marathon in 4 hours; her previous time was 4.4 hours. According to behavioral economists, and based solely on the information given, we would expect Multiple Choice • Tony to feel bad about his performance, and Stacey to feel good about hers. • Tony to feel good about his performance, and Stacey to feel good about hers. • Tony to feel bad about his performance, and Stacey to feel bad about hers. • Tony to feel good about his performance, and Stacey to feel bad about hers.
Suppose a consumer has an income of $24, the price of A is $3, and the price of B is $1. Which of the following combinations is on the consumer's budget line? Multiple Choice • 4A and 10B • 2A and 18B • 8A and 24B • 5A and 7B
Suppose Justine and Sarah are playing the ultimatum game. Justine is the proposer, has $250 to allocate, and Sarah can accept or reject the offer. Based on repeated experiments of the ultimatum game, what combination of payouts to Justine and Sarah is most likely to occur? Multiple Choice • $250 for Justine and $0 for Sarah • $125 for Justine and $125 for Sarah • $150 for Justine and $100 for Sarah • $0 for Justine and $250 for Sarah
Number of Units of Commodity 3 36 4 80 5 150 6 252 7 350 8 440
Total Utility
Refer to the table. What is the marginal utility of the eighth unit? Multiple Choice • 55
