If Fred's marginal utility of pizza equals 10 and his marginal utility of salad equals 2,then we know that
A)his indifference curves are convex.
B)his indifference curves are L-shaped.
C)his indifference curves are linear.
D)his indifference curves are downward sloping.

Question

Quizplus · Accepted Answer

This is because the marginal utility of pizza is higher than the marginal utility of salad, indicating that Fred would prefer pizza over salad. As he consumes more of each, the additional utility he receives decreases, so his indifference curves will be downward sloping. The shape of the curves does not indicate convexity, L-shape, or linearity.

If Fred's Marginal Utility of Pizza Equals 10 and His