4) Suppose that Jane is willing (at her current consumption bundle) to trade two apples for three oranges and still be at the same level of well-being. Does this mean that Jane likes apples more than oranges? Briefly explain assuming that Jane has normal (well-behaved) preferences.

Economics: Private and Public Choice (MindTap Course List)
16th Edition
ISBN:9781305506725
Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Chapter20: Consumer Choice And Elasticity
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4) Suppose that Jane is willing (at her current consumption bundle) to trade two apples for three
oranges and still be at the same level of well-being. Does this mean that Jane likes apples more
than oranges? Briefly explain assuming that Jane has normal (well-behaved) preferences.
Transcribed Image Text:4) Suppose that Jane is willing (at her current consumption bundle) to trade two apples for three oranges and still be at the same level of well-being. Does this mean that Jane likes apples more than oranges? Briefly explain assuming that Jane has normal (well-behaved) preferences.
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