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19) Kramer consumes apples and bananas only. Last week, he had 6 apples and 4 bananas. He is indifferent between the consumption bundle (6, 4)
19) Kramer consumes apples and bananas only. Last week, he had 6 apples and 4 bananas. He is indifferent between the consumption bundle (6, 4) and any other bundle (a, b) if a = 24/b.
a) On a graph, plot a few points that lie on the same indifference curve as (6, 4). Sketch the indifference curve by connecting all these points. b) Does Kramer's indifference curve exhibit diminishing marginal rate of substitution? Explain why.
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