there is a fundamental error in this representation of MVT. It creates an impression that moving to the next patch should occur when the resource gain curve becomes flat. The whole point is that typically earlier than that.
Not all consumption has a diminishing marginal utility. And you'd have to consume all at once (one of the silly precondition of the law) for the rule to work on some products. And it's a terrible measure of market prices as marginal utility is extremely subjective and doesn't account for cost of production/ exchange value which actually determines market prices. You sound ridiculous claiming market price doesn't represent cost of production.
there is a fundamental error in this representation of MVT. It creates an impression that moving to the next patch should occur when the resource gain curve becomes flat. The whole point is that typically earlier than that.
Thank you
Kuch smj nahi ayaa... Adaaa too angrazzzz
Not all consumption has a diminishing marginal utility. And you'd have to consume all at once (one of the silly precondition of the law) for the rule to work on some products. And it's a terrible measure of market prices as marginal utility is extremely subjective and doesn't account for cost of production/ exchange value which actually determines market prices. You sound ridiculous claiming market price doesn't represent cost of production.