Would the marginal rate of substitution

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Given the utility function U(F,C) = √(FC), and this budget constraint: 100,000 = 4F+40C,

Suppose that a person is consuming more F and less C than the utility maximizing bundle. Would the marginal rate of substitution of F for C be greater or less than the MRS at the maximized utility? Explain.

Reference no: EM13996492

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