Perfect complements will have
A)curved indifference curve, bowed out from the origin.
B)reverse L-shaped indifference curves.
C)curved indifference curves, bowed in from the origin.
D)L-shaped indifference curves.
E)straight line indifference curves.

Question

Quizplus · Accepted Answer

Perfect complements have an L-shaped indifference curve where the consumer only derives utility from consuming the two goods in a fixed ratio. Any other ratio will result in the same level of satisfaction. Therefore, the shape of the indifference curve will be L-shaped, with a perpendicular corner at the point where the two goods are consumed at the fixed ratio.

Perfect Complements Will Have