Suppose a consumer's preferences can be represented by the utility function: U(X,Y)=Y+{X^2}
Question: Suppose a consumer's preferences can be represented by the utility function:
\[U\left( X,Y \right)=Y+{{X}^{2}}\]a. Derive the function for the marginal rate of substitution holding utility constant:
\[{{\left. \frac{\Delta Y}{\Delta X} \right|}_{{\bar{U}}}}\]b. Does the marginal rate of substitution fall as you go down the indifference curve? Explain.
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Deliverables: Word Document
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