Question

Why is it that the indifference curves cannot cross? What assumptions about consumers’ preferences will crossed...

Why is it that the indifference curves cannot cross? What assumptions about consumers’ preferences will crossed indifference curves violate? Draw an indifference curve graph to help illustrate your answer.

Homework Answers

Answer #1

The indifference curve is a graphical explanation showing the combination of the two goods that give the equal satisfaction and utility

The above graph showing the indifference curve, the indifference curve downward sloping convex to the origin and consumer consuming A and B combination of the goods and giving the same level of sanctification both point A and B gives hi the same level of the satisfaction.

Since indifference curve can not intersect each other it indicates that intersection of the curve shows that consumer is not on the same level of satisfaction.

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