1. Circle whether the statement is true of false:
   1. An increase in consumers' incomes causes a shift in the demand curve.

TRUE FALSE

The Marginal Rate of Transformation changes if income changes and the prices are held constant.

TRUE FALSE

A good for which the price elasticity of demand is inelastic has a larger percent change in price than the corresponding percent change in quantity.

TRUE FALSE

Indifference curves move towards a right-angle shape when the goods are substitutes.

TRUE FALSE

The cross-price elasticity for a complement is positive.

TRUE FALSE

Different consumption bundles on a given indifference curve generate the same amount of utility for the consumer.

TRUE FALSE