Question: Suppose bundles A and B lie on the same indifference curve. Bundle C lies between bundles A and B, on a straight line that connects

Suppose bundles A and B lie on the same indifference curve. Bundle C lies between bundles A and B, on a straight line that connects them. The consumer's preferences satisfy the Declining MRS Principle. Does the consumer prefer C to A and B, or does he prefer A and B to C? Explain your answer.

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