Essay
The marginal utility for a pair of black socks is 4 and the marginal utility for a pair of white socks is 1.
a. What is the MRSWB?
b. If the consumer traded 8 pairs of white socks for 1 pair of black socks, what would happen to the consumer's utility?
Correct Answer:
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a. MUW/MUB = 1/4
b. By trading away 8 pair...View Answer
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Correct Answer:
Verified
b. By trading away 8 pair...
View Answer
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