Refer to Scenario 16.2. What is Sally's marginal rate of substitution of tee shirts for candy at the current distribution?
A) 7/2.
B) 2
C) 1/2.
D) It is impossible to determine without the prices of each commodity.
Question 2
Over the next few years, several newly constructed office blocks will become available at the World Trade Center site. As well, economists expect the New York economy will continue to exhibit modest growth.
What is the expected outcome for the office space market in downtown Manhattan? A) Unambiguously higher equilibrium rental rates and quantity
B) Unambiguously lower equilibrium rental rates and quantity
C) Unambiguously higher rental rates, and equilibrium quantity could be higher or lower
D) Unambiguously higher equilibrium quantity, and equilibrium rental rates could be higher or lower
A nurse adjusts the rate of a client’s IV.
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