Which statement best explains the relationship between indifference curves and consumer preferences
A)A consumer is equally satisfied with any indifference curve.
B)A consumer prefers indifference curves with positive slopes.
C)A consumer prefers higher indifference curves to lower indifference curves.
D)A consumer is generally unable to place all consumption bundles on an indifference curve.

Question

Quizplus · Accepted Answer

Indifference curves represent different combinations of goods that a consumer considers equally satisfactory. Higher indifference curves represent greater satisfaction because they represent more of both goods. Therefore, a consumer generally prefers higher indifference curves to lower indifference curves.

Which Statement Best Explains the Relationship Between Indifference Curves and Consumer