The Point Where the Indifference Curve Is Tangent to the Budget

question 429

Multiple Choice

The point where the indifference curve is tangent to the budget line

• A) is the best affordable point.
• B) is where the marginal rate of substitution exceeds the relative price by as much as possible.
• C) is a point on consumer's demand curve.
• D) All of the above answers are correct.

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