Question 49
HardOriginal questionAssertion (A): Indifference curves cannot intersect.
Reason (R): A higher indifference curve gives a higher level of satisfaction.
Show the answer and explanation
CorrectNot quiteAnswer A
Correct answer: A
Explanation
Both are true.
If two curves crossed, the shared bundle would have to be on a higher and a lower level at once. Since higher curves mean more satisfaction (R), that is impossible: R explains A.
- Concept
- Why indifference curves do not cross
- Typical timeTypical
- 100 s
- Your timeYours
- —
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