Question 5 / 11:  In the presence of declining marginal rates of substitution, consumers who again and again sacrifice a unit of

one good cannot remain on their original consumption-indifference curves (that is, they cannot maintain their

original levels of welfare) unless they receive as compensation

A  again and again equal units of another good.
B  ever smaller units of another good.
C  ever larger units of another good
D  either (a), (b), or (c), depending on the tastes of the consumer involved
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NET JRF Mock Test #1: Microeconomics

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