-Consider an indifference curve for sodas and pizza,drawn in a figure with sodas measured along the horizontal axis.Moving downward along the indifference curve,the
A) marginal utility per dollar for sodas must increase.
B) marginal utility per dollar for pizza must increase.
C) consumer remains indifferent among the different combinations of soda and pizza.
D) the level of total utility must change.
E) marginal rate of substitution is constant.

Question

-Consider an indifference curve for sodas and pizza,drawn in a figure with sodas measured along the horizontal axis.Moving downward along the indifference curve,the
A) marginal utility per dollar for sodas must increase. 
B) marginal utility per dollar for pizza must increase. 
C) consumer remains indifferent among the different combinations of soda and pizza. 
D) the level of total utility must change. 
E) marginal rate of substitution is constant.

Quizplus · Accepted Answer

An indifference curve represents combinations of two goods that provide the same level of utility to the consumer, so the consumer remains indifferent among these combinations.

-Consider an Indifference Curve for Sodas and Pizza,drawn in a Figure