Question: State whether following statements are right and wrong. ( a) Demand curve slopesdown to the right. ( b) Marginal utility increases in case of prestige

State whether following statements are ‘right’ and ‘wrong’.

(

a) Demand curve slopes’down to the right.

(

b) Marginal utility increases in case of prestige goods.

(

c) Income and substitution effects are greater than price effect.

(

d) Consumer equilibrium takes place where MRS = price ratio.

(

e) Revealed preference theory of consumer demand was developed by R.G.D. Allen.

(

f) An indifference curve can be concave to origin.

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