# Let (x1, x2) be some interior bundle on the budget constraint, and suppose p1 = 4...

###### Question:

Let (x1, x2) be some interior bundle on the budget constraint, and suppose p1 = 4 and p2 = 2. If the marginal rate of substitution at (x1, x2) is -3, then is (x1, x2) optimal? Explain why or why not, and justify your answer with economic intuition. (Partial credit for a purely graphical argument.)

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