Question: If a corner solution exists, _____. Multiple Choice indifference curves are convex to the origin indifference curves are concave to the origin the marginal rate

If a corner solution exists, _____.

Multiple Choice

indifference curves are convex to the origin

indifference curves are concave to the origin

the marginal rate of substitution will differ from the slope of the budget constraint

the marginal rate of substitution will always be equal to the slope of the budget constraint

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Economics Questions!

Q:

What is the primary reason why indifference curves are convex to the origin? Part 2 Indifference curves are convex to the origin because Part 3 A . an indifference curve passes through every possible...

Q:

The Quantity demanded for product X last month is 40 units when the income is 300 pesos per day. Currently the income increased by 50 which resulted to an increase in the quantity demanded to 50...

Q:

Provide a diagram following this: Intertemporal Budget Constraint The intertemporal budget constraint illustrates the trade-off between consuming today (C1) and consuming in the future (C2) for a...

Q:

Please answer all the required questions in detail I hope the answer is not copy-paste I hope that the answer will be according to the concepts in the chapter 3 The following article summarizes the...

Q:

The following are multiple choice questions. (11-30) 11. Mia can either bake 10 mango tarts or clean 2 cars in one hour. If Mia decides to do both these jobs within the same hour, what would be her...

Q:

The following are multiple choice questions. 11 Which of the following is true of sunk costs? a. It is a type of opportunity cost. b. It is a type of implicit cost. c. It should be ignored when...

Q:

assap tutors explain the answer please 39. The income effect for a commodity is (a) Is always positive (b) Is always negative (c) Depends upon price effect (d) Determines the nature of the commodity...

Q:

Solve all of them with explanations True/False and Explain Multiple Choice Consumption Possibilities Consumption Possibilities 1. The budget line has a negative slope and is linear. 1. Which of the...

Q:

True or False, then explain why. Thank you in advance. TOPIC: Price Elasticity of Supply and Consumer Behavior 1. The marginal rate of substitution diminishes along an indifference curve. 2. Customer...

Q:

11 Which of the following is true of sunk costs? a. It is a type of opportunity cost. b. It is a type of implicit cost. c. It should be ignored when making decisions. d. It includes annual costs like...

Q:

(Q) Write a short note on Peer-to-Peer Network.

Q:

On January 1, Julie, Kay, and Susan form a partnership. The contributions of the three individuals are listed below. Julie received a 30% partnership interest, Kay received a 60% partnership...

Q:

Which of the following statements are true about the auctions used to issue U . S . Treasury securities ? Attempt 1 / 3 for 1 0 pts . Part 1 Check all that apply: The yield on the bonds is determined...

Q:

Ekiya, who is single, has been offered a position as a city landscape consultant. The position pays $ 1 4 9 , 0 0 0 in wages. Assume Ekiya has no dependents. Ekiya deducts the standard deduction...

Q:

1. To gain insight about the information processes operating in a communication process.

Q:

4. As your starting point, take two everyday decisions you have made during the past year. Discuss these decisions based on the following question: Why do you think your decisions may have been wrong?

Q:

1. To provide an understanding that social facts are mentally constructed and do not exist as an objective reality.