Suppose Jane is always willing to give up one apple for one orange. Then, the MRS for apples to oranges is _____ The slope of each indifference curve is _____ This is an example of ______ preferences. a) perfect complement b) perfect substitute c)cobb douglas

Suppose Jane is always willing to give up one apple for one orange. Then, the MRS for apples to oranges is ___ The slope of each indifference curve is _ This is an example of ____ preferences. a) perfect complement b) perfect substitute c)cobb douglas

Micro Economics For Today

10th Edition

ISBN:9781337613064

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter6: Consumer Choice Theory

Section6.A: Indifference Curve Analysis

Problem 1SQP

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Concept explainers

Form Utility

The term utility in general refers to the satisfaction earned from usage of a particular product or service. Utility always plays an important role because it influences various important elements like demand & thereby the price of the good or service as well. Though utility is not easy to measure, various types of economic models can be used indirectly. There can be various types of utilities like economic utility, marginal utility, cardinal utility, form utility.

Question

Suppose Jane is always willing to give up one apple for one orange.

Then, the MRS for apples to oranges is _____

The slope of each indifference curve is _____

This is an example of ______ preferences.

a) perfect complement

b) perfect substitute

c)cobb douglas

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