What can we say about the amount of each good a consumer is currently consuming
A)It is only affected by price.
B)It affects the rate at which she is willing to trade.
C)It is only affected by income.
D)It will not affect the marginal rate of substitution.

Question

Quizplus · Accepted Answer

The amount of each good a consumer is consuming affects the rate at which she is willing to trade, as it influences her marginal rate of substitution between the goods.

What Can We Say About the Amount of Each Good