Question
Hi , I'm struggling to answer this true and false question can u help me please? Thank you! Two consumers, 1 and 2, are active
Hi , I'm struggling to answer this true and false question can u help me please? Thank you!
Two consumers, 1 and 2, are active on the same two markets (one market for goodxand one market for goody) and purchase positive quantities of both goods. Letaandbdenote their respective consumption plans, and letMRS1 (a) andMRS2 (b) be their marginal rates of substitutions.ThenMRS1 (a) = MRS2 (b) even if they have different preferences and different incomes.
True
False
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Foundations of Macroeconomics
Authors: Robin Bade, Michael Parkin
8th edition
134492005, 978-0134492001
