To derive a demand curve using the indifference curve model,you must change the
A) consumer's preferences.
B) consumer's income.
C) price of one good, holding the price of the other good and income constant.
D) price of both goods simultaneously but by different amounts.
E) price of both goods simultaneously but by the same percentage.

Question

Quizplus · Accepted Answer

To derive a demand curve using the indifference curve model, we need to change the price of one good while holding the price of the other good and income constant. This allows us to observe the consumer's response to changes in price and how it affects their demand for the good.

To Derive a Demand Curve Using the Indifference Curve Model,you