The firm manager with horizontal indifference curves (output on the horizontal axis, profit on the vertical axis) views:
A) only profits to be "goods."
B) only output to be "goods."
C) both profits and outputs to be "goods."
D) None of the statements is correct.

Question

Quizplus · Accepted Answer

Horizontal indifference curves imply that the manager values only profits as "goods" and is indifferent to changes in output.

The Firm Manager with Horizontal Indifference Curves (Output on the Horizontal