CHOOSE:

26- One of the characteristics of the consumer is his rationality. True False

27- The indifference curve shows the level of satisfaction of an individual. True False

28- "If the indifference curve moves to the left, this suggests that the level of satisfaction of the individual increases." True False

29- "If on the same indifference curve there is point A at the extreme left and point B at the extreme right, the consumer will prefer or choose point B." True False

30- The consumer maximizes his utility when the slope of the indifference curve (marginal rate of substitution MRTS) and the slope of the budget constraint curve (PB/PA) are equal. True False

31- "An example of the income effect is when the price of a good increases, this causes the purchasing power to decrease, and makes the consumer obtain more of that good." True False

32- A combination of assets that is on the right side of the budget line indicates that it may be attainable. True False

33- "If the price of a good decreases and everything else remains constant, this means that a greater quantity of that good can be obtained." True False

34- The range of values that the correlation coefficient can take in a regression model is between zero (0) and one (1). True False

35- "If the coefficient of a predictor variable is -2.15, this indicates that for each unit increase in the predictor variable, it will cause the dependent variable to decrease by 2.15." True False

36- "If the probabilistic value is greater than the level of significance (?), it indicates that the statistic is a reliable one to project." True False

37- "If the value of the correlation coefficient is close to one (1), it is said that the relationship between the variables is weak." True False

38- The coefficient of determination tells us the percentage of changes in the dependent variable that can be explained by the independent variable. True False

39- The response or sensitivity of consumers to a change in the price of a product is known as the price elasticity of demand.

True False

40- If the coefficient of price elasticity of demand is greater than one (1), it is said that demand is inelastic. True False

41- Necessary goods tend to have an inelastic demand. True False

42- Income elasticity is the reaction or sensitivity of the consumer to the quantity demanded of a good or service when the price changes in a given period. True False

43- Cross elasticity analyzes the quantity demanded of a good with the price of another good. True False

44- "If the cross-elasticity coefficient is negative, the goods are complementary." True False

45- "If the income elasticity is equal to -1.23, it is said to be a complementary good." True False

46- "An elastic demand refers to the fact that a small change in income generates a larger change in the quantity demanded. " True False

47- "If the income elasticity value of a good is greater than one, it is said that the good is normal." True False

48- "If the price elasticity for a good is equal to -1, then we say that it is unitary." True False

49- A good is considered inferior if the cross-elasticity value is negative. True False

50- "If the price of a good increases and causes the quantity demanded of another good to increase, we say that the goods are substitutes."

True False