Economists sometimes represent two goods as having right-angled indifference curves (perfect complements). In reality, this violates:
A)the assumption of transitivity.
B)the assumption of completeness.
C)the law of diminishing returns.
D)the "more is better" assumption.

Question

Quizplus · Accepted Answer

Right-angled indifference curves imply that more of one good without the other does not increase utility, violating the "more is better" assumption.

Economists Sometimes Represent Two Goods as Having Right-Angled Indifference Curves