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At the Best Affordable Point,which Statement Is True

Question 27

Multiple Choice

At the best affordable point,which statement is true?


A) The slope of the indifference curve equals the slope of the budget line.
B) The marginal rate of substitution between two goods equals their absolute price.
C) The highest affordable indifference curve has the same intercept as the budget line.
D) Other points on the same indifference curve are affordable but not preferred.
E) Some income is not spent.

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