The Concept of Diminishing Marginal Rate of Substitution Indicates That

Multiple Choice

The concept of diminishing marginal rate of substitution indicates that

A) individuals are willing to give up an increasing amount of good Y in order to obtain one more unit of good X as the consumption of good X increases.
B) individuals are willing to give up a decreasing amount of good Y in order to obtain one more unit of good X as the consumption of good X increases.
C) along an indifference curve, a consumer prefers the consumption combinations moving to the northwest along the curve.
D) None of the above answers is correct.