Determine annies marginal rate of substitution of food


Problem

Annie consumes three goods out of her income: food (F) shelter (S), and clothing (C). At her current levels of consumption, her marginal rate of substitution of food for clothing is 2 and her marginal rate of substitution of clothing for shelter is 3.

a) Do you have enough information to determine her marginal rate of substitution of food for shelter? If so, what is it? If not, why not?

b) Do you have enough information to determine her marginal utility of shelter? If so, what is it? If not, why not?

The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.

Request for Solution File

Ask an Expert for Answer!!
Microeconomics: Determine annies marginal rate of substitution of food
Reference No:- TGS02111001

Expected delivery within 24 Hours