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    Question

    Leontief Preferences are related to

    A Substitutes Correct Answer Incorrect Answer
    B Complements Correct Answer Incorrect Answer
    C Cobb Douglas Correct Answer Incorrect Answer
    D CES Function Correct Answer Incorrect Answer

    Solution

    Leontief utility functions represent complementary goods. A consumer with a Leontief utility function has the following properties: The preferences are weakly monotone but not strongly monotone: having a larger quantity of a single good does not increase utility, but having a larger quantity of all goods does.

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