The budget line and the indifference curve are geometric devices used to provide a closer look at consumer choice
a. True
b. False
Indicate whether the statement is true or false
True
You might also like to view...
During the past 20 years, there has been substantial FDI in China. What are the expected shortrun effects of this FDI upon the rental rate on capital and wages in China?
a. The rental rate should increase and wages should decrease. b. The rental rate and wages should both increase. c. The rental rate and wages should both decrease. d. The rental rate should decrease and wages should increase.
The prices that people are willing to pay for goods and services mostly depend on:
a. the total utility derived from the goods and services. b. the marginal utility derived from the goods and services. c. the availability of raw materials for producing the goods and services. d. the cost of producing the goods and services. e. whether the goods are legal, since the laws affect the position of both supply and demand curves.