CUET Economics 2025 3 June Shift 2 PYQs

Why indifference curves are convex to origin?

1. Due to the constant market rate of exchange.
2. Due to the increasing marginal rate of substitution.
3. Due to the constant marginal rate of substitution.
4. Due to a diminishing marginal rate of substitution.

Arrange the following concept emerges in context of consumer equilibrium.

(A) Transfer his expenditure from Good Y to Good X.

(B) Sacrifice more of Good Y to gain Good X.

(C) Till, Marginal Rate of Substitution (MRSxy) = Market Rate of Exchnage.

(D) Suppose, Marginal Rate of Substitution (MRSxy) > Market Rate of Exchnage.

Choose the correct answer from the options given below:

With regard to price elasticity, in general, demand for a luxury good is likely to be ........

1. Inelastic
2. Unitary elastic
3. Perfectly Inelastic
4. Elastic