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  • We call the objects of consumer choice … bundles. #111
  • Two goods are … if the consumer is willing to substitute one good for the other at a constant rate. #112
  • … complements are goods that are always consumed together in fixed proportions. #113
  • A … is a neutral good if the consumer doesn’t care about it one way or the other. #114
  • A … is a commodity that the consumer doesn’t like. #115
  • The demand curve measures how much people wish to demand at each price, and the supply curve measures how much people wish to supply at each price. An … is one where the amount demanded equals the amount supplied. #116
  • The slope of an indifference curve is known as the …. #117
  • A utility function is simply a way to represent or summarize a … ordering. The numerical magnitudes of utility levels have no intrinsic meaning. #118
  • Thus, given any one … function, any monotonic transformation of it will represent the same preferences. #119
  • The …, can be calculated from the utility function via the formula MRS = Δx2/Δx1 = −MU1/MU2. #120
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