Vinny consumes tacos and chicken wings. To keep his utility constant, he must consume more tacos if he consumes fewer chicken wings. This means that O Vinny's indifference curve for tacos and chicken wings must have a negative slope. O Vinny's marginal utility from each good must be constant along his convex indifference curves for tacos and chicken wings. the prices Vinny pays for tacos and chicken wings are always the same. O Vinny's marginal rate of substitution must be constant along his indifference curves for tacos and chicken wings.

Vinny consumes tacos and chicken wings. To keep his utility constant, he must consume more tacos if he consumes fewer chicken wings. This means that O Vinny's indifference curve for tacos and chicken wings must have a negative slope. O Vinny's marginal utility from each good must be constant along his convex indifference curves for tacos and chicken wings. the prices Vinny pays for tacos and chicken wings are always the same. O Vinny's marginal rate of substitution must be constant along his indifference curves for tacos and chicken wings.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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