In this example, why is the graph for total utility curved whereas the graph for marginal utility is straight?
a. Total utility has a constant positive slope whereas marginal utility has a constant negative slope.
b. The slope of the total utility graph is positive but constantly decreasing at the rate shown on the marginal utility graph.
c. The slope of the marginal utility graph is negative but constantly increasing at the rate show on the total utility graph.
d. Marginal utility has a constant positive slope whereas totally utility has a constant negative slope.
b. The slope of the total utility graph is positive but constantly decreasing at the rate shown on the marginal utility graph.
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A) $80. B) $11. C) $30. D) $16. E) $105.
In the market for insurance, low risk customers are not served because
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