True or False. Provide a one sentence explanation. A consumer with positive marg
ID: 1239664 • Letter: T
Question
True or False. Provide a one sentence explanation. A consumer with positive marginal utility for each good will always choose a bundle on her budget line. If Darren views milk chocolate and dark chocolate as perfect substitutes, then he buys whichever is cheaper. Rita has well-behaved preferences over steak and fries. At her current consumption bundle of 3 steaks and 10 fries, her marginal rate of substitution between steak and fries is 1/2 (in absolute value). If you offered to take away one fry and give her a steak, she would take that offer.Explanation / Answer
t t f
Related Questions
Hire Me For All Your Tutoring Needs
Integrity-first tutoring: clear explanations, guidance, and feedback.
Drop an Email at
drjack9650@gmail.com
drjack9650@gmail.com
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.