If an indifference map for a consumer is made up of straight, negatively- sloped lines, the marginal rate of substitution _______ as more of the good on the horizontal axis is consumed.
A) diminishes
B) does not diminish
C) increases
D) More information is needed to answer the question.

Question

Quizplus · Accepted Answer

When an indifference map is made up of straight, negatively-sloped lines, it implies that the marginal rate of substitution (MRS) between the two goods remains constant as more of one good is consumed. This is characteristic of perfect substitutes.

If an Indifference Map for a Consumer Is Made Up