As the price of a good rises,the consumer will experience
A) a desire to consume a different bundle.
B) a decrease in utility.
C) a southern or western movement on the indifference map.
D) All of the above.

Question

Quizplus · Accepted Answer

As the price of a good rises, consumers may seek alternatives (a different bundle), experience a decrease in utility since they can afford less of the good, and on an indifference map, this is represented by a movement to a lower indifference curve, which can be described as a southern (downward) or western (leftward) movement, indicating a lower level of overall satisfaction or utility.

As the Price of a Good Rises,the Consumer Will Experience