Question

According to economists, gift registries, returning gifts for cash refunds, and "recycling gifts" multiple choice increase the efficiency of gift-giving because they allow the recipient to consume goods that provide greater utility and transfer away those goods that are less satisfying. are more efficient than if givers simply gave cash gifts. are inefficient because the time spent in these activities is never worth the benefit recipients receive from doing them. are equally efficient because the recipient gets exactly what he wants.

Answer 1

A) increase the efficiency of gift-giving because they allow the recipient to consume goods that provide greater utility and transfer away those goods that are less satisfying.

Utility is the satisfaction that a consumer gets from a good or service, and picking the items that they want themselves provides the best efficiency of choosing goods.