📢 Too many exams? Don’t know which one suits you best? Book Your Free Expert 👉 call Now!
  • google app store apple app store
    • ✖

      Question

      Revealed preference theory

      assumes
      A Weak ordering Correct Answer Incorrect Answer
      B Strong ordering Correct Answer Incorrect Answer
      C Constant ordering Correct Answer Incorrect Answer
      D Multiple ordering Correct Answer Incorrect Answer

      Solution

      Revealed preference, a theory offered by American economist Paul Anthony Samuelson in 1938, states that consumer behaviour, if their income and the item's price are held constant, is the best indicator of their preferences. Revealed preference theory works on the assumption that consumers are rational have strong ordering.

      Practice Next
      More Research Questions
      ask-question