A consumer is said to be indifferent between two consumption bundles
A) when the consumer doesn't care about his or her consumption bundle.
B) when the two bundles provide equal amounts of utility.
C) when the consumer chooses the bundles equally often.
D) when the consumer is indecisive.
E) when the consumption bundles contain normal goods.

Question

Quizplus · Accepted Answer

Indifference means that the consumer derives the same level of satisfaction or utility from both of the consumption bundles. It does not necessarily mean that the consumer doesn't care or is indecisive, but rather that the two bundles provide the same level of utility. Therefore, option B is the best choice as it states that the two bundles provide equal amounts of utility.

A Consumer Is Said to Be Indifferent Between Two Consumption