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Indicate whether each of the following examples of behavior is consistent with the utility-maximization framework of traditional economics or is better explained by concepts developed
Indicate whether each of the following examples of behavior is consistent with the utility-maximization framework of traditional economics or is better explained by concepts developed by behavioral economists. Consistent with the Predictions of More Effectively Addressed Example Traditional Economic Theory by Behavioral Economics Some people would turn down a new, higher-paying job if it meant spending less time with their family. People at all-you-can-eat restaurants eventually leave, even though they could continue eating for free. O O Some people care more about how much money they make relative O O to other people than about their absolute level of income. Some people treat $80 they earn differently from $80 they win from a A+ O O lottery ticket
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