WebOct 4, 2012 · Can a single indifference curve cross itself? a single indifference curve cannot cross itself. What is the different between indifference map and indiffirence … WebA: This is a ‘consumer choice’ problem. This principle of rational choice allows one to derive the…. Q: State the reason that why indifference curves never intersect each other. Furthermore, why higher…. A: An indifference curve shows the various combinations of two goods that give the consumer equal…. Q: Write down and explain the ...
Why is indifference curve a closed set? - Answers
WebOct 4, 2012 · 3) Represents a fixed utility value (and therefore can never intersect another indifference curve). 4) Is considered equally optimal any where on the curve. 5) The lower the indifference curve is ... WebEconomics questions and answers. 22. If two indifference curves were to intersect at a point, this would violate the assumption of A. transitivity B. completeness C. Both A and B above. D. None of the above. 23. If the utility function (U) between food (F) and clothing (C) can be represented as U (F,C)- Facos holding the consumption of clothing ... random latin phrases
What is difference between indifference curve and budget line?
The four properties of indifference curves are: (1) indifference curves can never cross, (2) the farther out an indifference curve lies, the higher the utility it indicates, (3) indifference curves always slope downwards, and (4) indifference curves are convex. See more When an individual consumes goods and services, the satisfaction gained or lost from consumption is called utility. Consumer preferences are defined by the consumption bundles … See more An indifference curve is a contour line where utility remains constant across all points on the line. Each point on an indifference curve represents a consumption bundle, … See more Marginal utility refers to the utility gained from the consumption of an additional unit of a good or service. The principle of diminishing marginal utility is illustrated here as the total … See more If a good satisfies all four properties of indifference curves, the goods are referred to as ordinary goods. They can be summarized as the consumer requires more of one good to … See more WebIf the two indifference curves crossed, they would have a common point, say A. 'A' has the same utility as any of the points on curve 1 and curve 2. But this cannot be true, as … WebApr 6, 2024 · Indifference Curve Analysis. A process of analyzing a simple two-dimensional graph representing two goods, one on the x-axis and the other on the y-axis is known as an Indifference Curve Analysis. If the graph of the combination of goods is on the line or curve, it means that the consumer gains the same satisfaction level or utility from the ... overwarm singles