Question

are consumers only interested in making themselves as well off as possible in a material sense? consumers are
a. only concerned with their own financial well - being as exemplified by only parting with money when required.
b. also concerned with fairness as exemplified by donations to charity.
c. only concerned with their own utility as exemplified by network externalities.
d. only concerned with their own utility as exemplified by social influences having no effect on decision - making.
e. also concerned with fairness as exemplified by only tipping in restaurants that will be visited again.

Explanation:

To solve this, we analyze each option:

• Option A: Suggests consumers only care about financial well - being, but real - world shows they care about other aspects (like fairness), so A is wrong.
• Option B: Donations to charity show consumers care about fairness (not just material well - being), this is consistent with the idea that consumers have non - material concerns like fairness.
• Option C: Network externalities relate to how the value of a good depends on the number of users, not about consumers' concern for only their own utility. Also, the “only” part is wrong as consumers care about more than just utility.
• Option D: Social influences do affect consumer decision - making, so the claim that social influences have no effect is wrong, and the “only” about utility is also incorrect.
• Option E: Tipping only at restaurants to be visited again is more about self - interest (getting good service in the future) rather than fairness. Fairness - based tipping would be regardless of future visits. So E is wrong.

Answer:

B. also concerned with fairness as exemplified by donations to charity.