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Suppose That a Consumer Has the Utility Function U=5X+7Y\mathrm { U } = 5 \mathrm { X } + 7 \mathrm { Y }

Question 78

Multiple Choice

Suppose that a consumer has the utility function U=5X+7Y\mathrm { U } = 5 \mathrm { X } + 7 \mathrm { Y } . The MRSx,y\mathrm { MRSx } , \mathrm { y } is:


A) 7/57 / 5
B) 5/75 / 7
C) 1.001.00 since X\mathrm { X } and Y\mathrm { Y } are perfect substitutes.
D) 0 since X\mathrm { X } and Y\mathrm { Y } are perfect complements.

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