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If the quantity of the variable on the y-axis increases by 10 when the quantity of the variable on the x-axis decreases by 2,then the slope of the curve equals
Risk Averse
Describing individuals or entities that prefer to avoid risk and would rather choose an alternative with a more certain but possibly lower return, than an option with a higher but uncertain return.
Utility Function
A mathematical representation that relates an individual’s consumption bundle to the level of satisfaction or utility derived from it.
Marginal Utility
The additional satisfaction or utility gained from consuming or using one more unit of a good or service.
Interest Rate
The percentage of a sum of money charged for its use, which can be seen as the cost of borrowing money or the return on saving.
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