Figure 21-7
-Refer to Figure 21-7.Which of the following statements is correct?
A) If a consumer moves from bundle C to bundle A,her loss of cake cannot be compensated for by an increase in donuts.
B) Bundle E is preferred to all other points identified in the figure.
C) Since more is preferred to less,bundle C may be preferred to bundle E in some circumstances for this consumer.
D) Even though bundle E has more of both goods than bundle B,we could draw a different set of indifference curves in which bundle B is preferred to bundle E.

Question

Figure 21-7 
-Refer to Figure 21-7.Which of the following statements is correct?
A) If a consumer moves from bundle C to bundle A,her loss of cake cannot be compensated for by an increase in donuts. 
B) Bundle E is preferred to all other points identified in the figure. 
C) Since more is preferred to less,bundle C may be preferred to bundle E in some circumstances for this consumer. 
D) Even though bundle E has more of both goods than bundle B,we could draw a different set of indifference curves in which bundle B is preferred to bundle E.

Quizplus · Accepted Answer

The Answer of Figure 21-7 
-Refer to Figure 21-7.Which of the following statements is correct?
A) If a consumer moves from bundle C to bundle A,her loss of cake cannot be compensated for by an increase in donuts. 
B) Bundle E is preferred to all other points identified in the figure. 
C) Since more is preferred to less,bundle C may be preferred to bundle E in some circumstances for this consumer. 
D) Even though bundle E has more of both goods than bundle B,we could draw a different set of indifference curves in which bundle B is preferred to bundle E.

Figure 21-7 -Refer to Figure 21-7.Which of the Following Statements Is Correct