The marginal rate of substitution ___________________. Is the rate at which a co

Question

The marginal rate of substitution ___________________.

Is the rate at which a consumer is willing to trade the consumption of one good for another

Shifts as a consumer has a greater concentration of one good relative to another

Is the slope of the indifference curve

All of the above

Is the rate at which a consumer is willing to trade the consumption of one good for another

Shifts as a consumer has a greater concentration of one good relative to another

Is the slope of the indifference curve

All of the above

Explanation / Answer

Answer
Option fourth
all of the above
the MRS is a slope of IC and that shows same preferences of the combination of two goods as a line which can not cross and the best is to choose maximum attainable IC.

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