The Following Diagram Shows One Indifference Curve Representing the Preferences

question 303

Multiple Choice

The following diagram shows one indifference curve representing the preferences for goods X and Y for one consumer. What is the marginal rate of substitution between points A and B?

• A) 1/2
• B) 4/3
• C) 2
• D) 3

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Definitions:

Mid-1960s

A period marked by significant social and political changes worldwide, including the height of the civil rights movement in the United States.

Opinion Polls

Surveys conducted to gather the public's views or preferences regarding various topics, including politics, culture, and consumer products, used to infer the opinion of a larger population.

Lynch Mobs

Groups of people who take the law into their own hands to punish an individual, often without a fair trial, historically associated with racial violence in the United States.

Loose Cigarettes

Single cigarettes sold individually, often illegally, as they bypass taxation and standard packaging regulations.