Home / Questions / Consumers in Georgia pay twice as much for avocados as they do for peaches However, avocad...
1.Consumers in Georgia pay twice as much for avocados as they do for peaches. However, avocados and peaches are the same price in California. If consumers in both states maximize utility, will the marginal rate of substitution of peaches for avocados be the same for consumers in both states? If not, which will be higher?
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