The Absolute Value of the Slope of the Budget Constraint

question 115

Multiple Choice

The absolute value of the slope of the budget constraint is equal to

• A)the marginal rate of substitution between the two goods in question.
• B)the price of good on the vertical axis divided by the price of the good on the horizontal axis.
• C)the price of good on the horizontal axis divided by the price of the good on the vertical axis.
• D)the quantity of the good on the vertical axis divided by the quantity of the good on the horizontal axis.

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