Figure 5-9

In Figure 5-9, the consumer’s marginal rate of substitution at his optimum choice of X and Y is

The infant-industry argument is the only perfectly valid argument for protection

Indicate whether the statement is true or false

A primary objective of labor unions is to

A) secure equal pay for its members. B) have equal power with their employer. C) seek better pay and improved work conditions. D) all of the above. E) none of the above.