When a Consumer's Marginal Rate of Substitution Between X and Y

question 46

Multiple Choice

When a consumer's marginal rate of substitution between X and Y is equal to the ratio of prices for X and Y,and when the consumer is spending all available income,then

• A)the budget line is tangent to an indifference curve.
• B)the consumer is not maximizing his utility.
• C)a higher indifference curve can be reached given the existing budget line.
• D)the budget line is tangent to the indifference curve at all quantities of X and Y.
• E)all budget lines are tangent to all indifference curves.

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Definitions:

Symptoms Duration

The length of time over which the signs and symptoms of a disease or condition are observed or experienced.

Neutralization

In chemistry, it refers to the reaction between an acid and a base to produce salt and water. In psychology, it's a technique to rationalize or justify behavior that contradicts one's own social norms or values.

OCD PATIENTS

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