Question : The indifference curve's slope is calculated using:
Option 1: Marginal Rate of Substitution
Option 2: Marginal Opportunity Cost
Option 3: Marginal Rate of Transformation
Option 4: None of these
Correct Answer: Marginal Rate of Substitution
Solution : The marginal rate of substitution, which determines the slope of the indifference curve, decreases when the quantity of X rises relative to the quantity of Y. Hence option a is the correct answer.
Question : Marginal rate of exchange also denotes:
Question : Which of the following cost curve is never 'U' shaped?
Question : ______shows a variety of combinations of these two products that provide the same level of satisfaction:-
Question : A consumer will not be in equilibrium when according to the indifference curve and price line.
Question : Statement 1: An individual's indifference curve is concave to the origin.
Statement 2: The concavity of indifference curves reflects the diminishing marginal rate of substitution.
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