Multiple Choice
Figure 21-10
-Refer to Figure 21-10. Which of the following comparisons is correct regarding the marginal rate of substitution (MRS) of donuts for cake?
A) The MRS is greater between bundles A and B than between bundles B and C.
B) The MRS is greater between bundles B and C than between bundles A and B.
C) The MRS is the same between bundles A and B and bundles B and C because all three bundles lie on the same indifference curve.
D) The MRS is greater between bundles E and B than between bundles B and D.
Correct Answer:

Verified
Correct Answer:
Verified
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