Practicing Success
Which of the following are true- |
Both a and b are true a is true, b is not b is true, a is not Both a and b are false |
a is true, b is not |
Convexity of IC means, to consume an additional unit of good X, a consumer will be willing to sacrifice less and less of good Y. The reason for a convex IC is "Diminishing marginal rate of substitution". |