To complete the model of international trade using the PPF, we must also
Use the idea of indifference curves.These curves represent:
A)a set of alternate quantities of both goods (sloped negatively), whereby consumers are equally satisfied in their level of utility gained.
B)consumers who are indifferent to everything.
C)producers who do not care which production method is chosen.
D)a fixed quantity of one good (such as wheat) and a varying amount of the other good.

Question

Quizplus · Accepted Answer

Indifference curves represent a set of alternate quantities of both goods, whereby consumers are equally satisfied in their level of utility gained. These curves are negatively sloped, indicating that as more of one good is consumed, a consumer must give up some of the other good to maintain the same level of satisfaction.

To Complete the Model of International Trade Using the PPF