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Management · Q63

Managerial Economics

Graduate and Post Graduate · Management · question 63

Q63

If two goods are perfect substitutes for each other, it necessarily follows that

A.
An indifference curve relating the two goods will be curvilinear
B.
An indifference curve relating the two goods will be linear
Answer
C.
An indifference curve relating the two goods will be divided into two segments which meet at a right angle
D.
An indifference curve relating the two goods will be convex to the origin

Answer: Option B

Solution

Answer: Option B
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