Continuity in consumption is prerequisite for:
a)Law of diminishing marginal utilities
b)Revealed preference
c)Indifference curve analysis
d)Marginal rate of substitution
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Answer:
d)Marginal rate of substitution
Explanation:
Marginal Rate of Substitution (MRS)
By ADAM HAYES
Updated Nov 7, 2019
What Is the Marginal Rate of Substitution (MRS)?
In economics, the marginal rate of substitution (MRS) is the amount of a good that a consumer is willing to consume in relation to another good, as long as the new good is equally satisfying. It's used in indifference theory to analyze consumer behavior. The marginal rate of substitution is calculated between two goods placed on an indifference curve, displaying a frontier of utility for each combination of "good X" and "good Y."
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Answer:
Law of diminishing marginal utilities
Explanation:
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