CBSE Class 11-commerce Answered
WHY MRS FALLS IN T R JAIN
with negative values.
as
-1.5
-0.75
-0.5
then they are saying that MRS FALLS .
KINDLY CLARIFY.
Asked by Chawlachesta15 | 22 Aug, 2019, 09:33: AM
Expert Answer
MRS shows the amount of Good Y the consumer is willing to give up for an additional unit of Good X. It is measured as - 
between two points on IC.
MRS is the same as slope of IC.
The [-] sign is used to indicate that the indifference curve [IC] slopes downward and we move down the IC, MRS declines.
Answered by Christina | 26 Aug, 2019, 09:45: AM
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