marginal rate of substitution

Thus, on the contract curve the marginal rate of substitution is the same for both people.

The marginal rate of substitution is either zero or infinite.

At consumption levels, our marginal rates of substitution are identical.

The process then continues until the market's and household's marginal rates of substitution are equal.

They may be characterized as goods having a constant marginal rate of substitution.

The marginal rates of substitution in consumption are identical for all consumers.

This ratio is called the marginal rate of substitution between and .

The marginal rate of substitution between perfect substitutes is likewise constant.

This is known as the law of diminishing marginal rate of substitution.

Marginal rate of substitution (the same concept on consumption side)

At any given price, a prospective buyer has some marginal rate of substitution of money for the good or service in question.

For most goods the marginal rate of substitution is not constant so their indifference curves are curved.

Then the marginal rate of substitution can be computed via partial differentiation, as follows.

Demand curves are explained by marginalism in terms of marginal rates of substitution.

The marginal rate of substitution tells how much 'y' a person is willing to sacrifice to get one more unit of 'x'.

This shows diminishing marginal rate of substitution of staff expenditure for discretionary profits.

The curve is convex to the origin as shown assuming the consumer has a diminishing marginal rate of substitution.

In the competitive equilibrium, the individual's marginal rate of substitution between c 1 and c 2 must equal ().

The marginal rate of substitution of Jane equals that of Kelvin.

The shape of that curve is then determined by marginal rates of substitution of money for that good or service.

For example, the imperfect financial integration can stem from the inequality of the marginal rate of substitutions of different agents.

There is perfect substitutability between food and leisure, and the marginal rate of substitution is constant for all real income levels.

The conditions equivalent to single-peakedness essentially fail to hold if the marginal rates of substitution of any three voters differ (Kramer, 1973).

These are the bundles at which Crusoe's and Friday's Marginal rate of substitution are equal.

The neoclassical tradition that emerged from British marginalism abandoned the concept of utility and gave marginal rates of substitution a more fundamental role in analysis.