Multiple Choice
Which of the following is true of contract curves?
A) Every point on the contract curve indicates an inefficient distribution of goods among consumers.
B) At any point on the contract curve,all the consumers have equal marginal rates of substitution.
C) A movement along the contract curve indicates that,any trade that benefits one person will necessarily benefit the other.
D) At every point on the contract curve,the marginal utility derived from the consumption of a good is identical for all the consumers.
Correct Answer:

Verified
Correct Answer:
Verified
Q26: Suppose an economy produces two goods,corn and
Q27: An efficient distribution of a certain quantity
Q28: Every point _ corresponds to a point
Q29: According to Hayek,can there ever be an
Q30: Figure 19-3 illustrates the determination of an
Q32: Assume that the price of steel rises
Q33: When economists say that free trade is
Q34: According to critics,centrally planned economies fail to
Q35: Assume that the clothing (c.market is a
Q36: Why is efficiency considered to be a