When Two Goods Are Perfect Substitutes, the

question 385

Multiple Choice

When two goods are perfect substitutes, the

• A)indifference curve is a horizontal straight line.
• B)marginal rate of substitution is constant.
• C)indifference curve is a vertical straight line.
• D)Both a and b are correct.

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Definitions:

Stresses

Psychological or physical strain experienced by individuals in response to various demands or challenges.

Emotional Intelligence

The capacity to be aware of, control, and express one's emotions, and to handle interpersonal relationships judiciously and empathetically.

Self-Indulgence

The act of allowing oneself to enjoy or consume something excessively, often without restraint or consideration for consequences.

Conflict Resolution

Techniques and strategies used to address and resolve disagreements and disputes in a constructive manner.