Consider the diagram below. At point C, which of the following statement(s) is (are) true?





A) The optimal purchase for this consumer is 8 glasses of Kool-Aid and 6 glasses of tea.

B)

MUKool-Aid

Ptea

=

MUtea

PKool-Aid

C) The marginal rate of substitution is -3/4.

D) All of the above


C) The marginal rate of substitution is -3/4.

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