If the utility for two goods "x" and "y" can be measured as U = x,then it can be concluded that
A)"x" and "y" are perfect complements.
B)"y" is a "bad".
C)the indifference curves on the x,y graph are upward sloping where "x" is measured on the horizontal axis.
D)the indifference curves on the x,y graph are vertical where "x" is measured on the horizontal axis.

Question

Quizplus · Accepted Answer

Since utility depends only on "x" and not on "y", the consumer's satisfaction doesn't change with different amounts of "y" as long as "x" remains constant. This means indifference curves are vertical lines along the x-axis, indicating that varying amounts of "y" do not affect utility.

If the Utility for Two Goods "X" and "Y" Can