Which of the following is an example of a pure private good?

What does the marginal rate of substitution measure?

A) It measures the rate at which a consumer is willing to trade off one product for another while keeping utility constant. B) It measures the rate at which a consumer will substitute one good for another when the price of one good changes. C) It measures the rate at which a consumer must give up one good to purchase another good. D) It measures the change in utility from consuming one additional unit of a good.

Which of the following would impose the greatest costs to society?

a. high levels of expected inflation b. low levels of expected inflation c. variable rates of inflation d. stable rates of inflation