Why is the preferred path to the highest utility one in which both items are economic "goods"?
A) Since indifference curves are not thick,there is only one path to the highest utility.
B) "Goods" produce an upward-sloping curve and is the only way up to the maximization point.
C) "Goods" reduce economic "bads" and permit movement to the maximization point from all four directions.
D) People are unlikely to willingly pay in order to feel worse.
E) The combination of "goods" produces both an upward- and a downward-sloping curve that converge at the maximization point.

Question

Quizplus · Accepted Answer

In economics, a "good" is something that provides utility or satisfaction to the consumer. People are generally willing to pay for goods because they derive some benefit or pleasure from them, which is why the preferred path to the highest utility involves acquiring goods rather than "bads," which would decrease utility. This is why people are unlikely to willingly pay to feel worse, making option D the correct answer.

Why Is the Preferred Path to the Highest Utility One