As moving from left to right through an indifference curve, the MRS of X for Y
A)Increases
B)Remains the same
C)Decreases
D)Both A and C

Question

Quizplus · Accepted Answer

The marginal rate of substitution (MRS) typically decreases as one moves down along an indifference curve due to the diminishing marginal rate of substitution, reflecting the consumer's willingness to give up less of good Y to obtain additional units of good X.

As Moving from Left to Right Through an Indifference Curve