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(a) What is the difference between a normal good and an inferior good? (b) What is the difference between an iso-cost curve and an isoquant
(a) What is the difference between a normal good and an inferior good?
(b) What is the difference between an iso-cost curve and an isoquant curve in the producer's optimization graphs
(c) What three assumptions allow economists to represent consumer preferences with a utility function?
(d) Consider the utility function u(x, y) = x + 2y. Write down any other utility function that represents the same preferences. Explain why the preferences are the same!
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