An indifference curve shows combinations of two goods that yield:
A)equal prices.
B)equal money income.
C)equal satisfaction.
D)increasing prices.

Question

Quizplus · Accepted Answer

An indifference curve represents combinations of two goods that yield the same level of satisfaction or utility to a consumer. Therefore, the best choice(s) for a consumer are those that lie on the highest possible indifference curve, as they represent greater levels of satisfaction.

An Indifference Curve Shows Combinations of Two Goods That Yield