1. True or False: Indifference curves cannot be upward sloping because of transitivity. Explain. 2. True or False: The income effect shows the change in consumption for all goods in response to a change in relative prices holding utility constant. Explain. 3. True or False: Consumers in Georgia pay twice as much for avocados as they do peaches. However, avocados and peaches are the same price in California. If consumers in both states maximize utility, the marginal rate of substitution of peaches and avocados will be the same for consumers in both states. Assume consumers in each state are not at corner solutions. Explain your answer. 4. True or False: When the price of X decreases and all goods (including X) are normal goods, the income effect leads consumers to buy less of all goods. Explain. 5. True or False: The marginal rate of substitution tells us the rate at which a consumer is willing to give up one good to afford more of another good, holding utility constant. Explain