Author Question: The marginal rate of substitution A) is minus the slope of the indifference curve. B) can be ... (Read 113 times)

javeds · **on:** Jun 30, 2018

The marginal rate of substitution

A) is minus the slope of the indifference curve.
B) can be computed by measuring the curvature of the indifference curve.
C) cannot be deduced from the properties of the indifference curve.
D) can only be computed if we know the prices of all goods.

Question 2

An interest rate spread is

A) the difference between long-term and short-term interest rates.
B) the difference between nominal and real interest rates.
C) the difference between lending and borrowing interest rates.
D) the difference between public and commercial interest rates.