Tastes of individuals are represented by
A) isovalue lines.
B) production possibility frontiers.
C) production functions.
D) indifference curves.
E) the terms of trade.

Question

Quizplus · Accepted Answer

Tastes of individuals are represented by indifference curves which show different combinations of two goods that give an individual the same level of satisfaction. Each indifference curve represents a different level of satisfaction, and higher curves represent higher levels of satisfaction. Therefore, option D is the best choice.

Tastes of Individuals Are Represented by