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Topic:
1. With the aid of diagrams, explain the substitution and income effect when there is increase in the price of goods B(On the X -axis) in cases of where good B is a. Normal good b. Giffen goodc. Inferior good
ii. Explain using the assumptions of preferences that indifferences curves cannot intersect.
iii. Graphically illustrate the relationship between total cost, managerial cost and average cost.
iv. illustrate and explain, using an Edgeworth box the concepts of pareto efficiency
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