Answered: Suppose preferences do not exhibit…

Suppose preferences do not exhibit diminishing marginal rate of substitution. Can we set MRS=n to find the Golden Rule bundle?

Micro Economics For Today

10th Edition

ISBN:9781337613064

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter6: Consumer Choice Theory

Section: Chapter Questions

Problem 10SQP

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Suppose preferences do not exhibit diminishing marginal rate of substitution. Can we set MRS=n to find
the Golden Rule bundle?

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