If producers have different opportunity costs of production, trade will allow them to consume outside their production possibility frontiers.

Not all in-kind transfers represent an improved standard of living

Indicate whether the statement is true or false

How are the law of demand and the law of diminishing marginal utility related?

a. The law of diminishing marginal utility explains the law of demand. b. The law of demand explains the law of diminishing marginal utility. c. The law of demand contradicts the law of diminishing marginal utility. d. The law of diminishing marginal utility contradicts the law of demand.