What is an indifference curve?
A)It is a curve that shows the total utility and the marginal utility derived from consuming a bundle of goods.
B)It is a curve that shows the combinations of consumption bundles that give the consumer the same utility.
C)It is a curve that ranks a consumer's preference for various consumption bundles.
D)It is a curve that shows the tradeoff a consumer faces among different combinations of consumption bundles.

Question

Quizplus · Accepted Answer

An indifference curve shows the different combinations of two goods that give the same level of utility or satisfaction to a consumer. Therefore, option B is the correct choice.

What Is an Indifference Curve