Match items of List-II with the items of List-I. List-IList-II (a) MRSxy = 0 (i) Indifference curve is…
For a right-angled indifference curve, MRS is zero on the horizontal segment, while it is undefined at the corner. A constant non-zero MRS corresponds to a negatively sloped…
Choose your answer
Match items of List-II with the items of List-I.
| List-I | List-II |
|---|---|
| (a) MRSxy = 0 | (i) Indifference curve is concave to the origin |
| (b) MRSxy is constant but not zero | (ii) Indifference curve is right angled |
| (c) MRSxy is decreasing | (iii) Indifference curve is straight line with negative slope |
| (d) MRSxy is increasing | (iv) Indifference curve is convex to the origin |
Answer and explanation
Correct answer A
For a right-angled indifference curve, MRS is zero on the horizontal segment, while it is undefined at the corner. A constant non-zero MRS corresponds to a negatively sloped straight line. Decreasing MRS gives convex indifference curves, and increasing MRS gives concave indifference curves.
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West Bengal SET (WB SET)