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    Why is it that indifference curves have a falling MRTS and are convex? I've been told that because consumers will not prefer to substitute good x for good y if they have less of good x but why so???
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    Diminishing returns.
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    (Original post by Speckle)
    Diminishing returns.
    Thanks! You wrote only two words yet I got it...I had forgotten completely to link this concept
 
 
 
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Updated: November 9, 2015
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