Explain Why Having Different Marginal Rates of Substitution Is Necessary

question 12

Essay

Explain why having different marginal rates of substitution is necessary for trade to occur.

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Definitions:

Boston Merchants

Businesspeople from Boston, historically significant for their roles in colonial trade, including participation in events leading up to the American Revolution.

Religious Dissenters

Individuals or groups who disagree with the established religious beliefs or practices, often leading to the formation of new sects or movements.

Rhode Island

A U.S. state located in the New England region, known for its sandy shores and coastal towns. It is the smallest state in terms of land area.

Roger Williams

A Puritan minister who founded the colony of Rhode Island in 1636, advocating for separation of church and state and religious freedom.