-The indifference curves in the figure above (I₁, I₂, and I₃) reflect Peter's consumption preferences. If Peter consumes 24 slices of pizza and 24 chocolate bars per month, he as satisfied as he would be consuming ________ slices of pizza and ________ chocolate bars per month.

Question

-The indifference curves in the figure above (I<sub>1</sub>, I<sub>2</sub>, and I<sub>3</sub>) reflect Peter's consumption preferences. If Peter consumes 24 slices of pizza and 24 chocolate bars per month, he as satisfied as he would be consuming ________ slices of pizza and ________ chocolate bars per month. A) 48; 12 B) 40; 20 C) 32; 8 D) 16; 16

Quizplus · Accepted Answer

Indifference curves represent combinations of goods that provide the same level of satisfaction. If Peter is equally satisfied with 24 slices of pizza and 24 chocolate bars, he would be on the same indifference curve with 48 slices of pizza and 12 chocolate bars, assuming the curve is convex and the trade-off between goods is consistent.

-The Indifference Curves in the Figure Above (I1, I2, and I3)

-The Indifference Curves in the Figure Above (I₁, I₂, and I₃)