As a consumer moves upward along an indifference curve, giving up some of X (on the horizontal axis) to get more of Y (on the vertical axis), his or her marginal rate of substitution of X for Y:
A) becomes infinite.
B) goes from negative to positive.
C) increases.
D) decreases.

Question

Quizplus · Accepted Answer

As a consumer moves upward along an indifference curve, they are willing to give up more of X to get more of Y. This means that the marginal rate of substitution of X for Y is increasing.

As a Consumer Moves Upward Along an Indifference Curve, Giving