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Suppose a Consumer Consumes Two Goods, X and Y

Question 434

Multiple Choice

Suppose a consumer consumes two goods, X and Y. The relative price of the two goods equals the


A) marginal rate of substitution.
B) rate at which the consumer will give up X to gain Y while maintaining the same level of utility.
C) slope of the budget constraint.
D) All of the above are correct.

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