Question

true or false: Any point on the lowest indifference curve is preferable to a point on...

true or false: Any point on the lowest indifference curve is preferable to a point on a higher indifference curve.

Homework Answers

Answer #1

False.

  • The Statement that any point on the lowest indifference curve is preferable to a point on a higher indifference curve is false.
  • We know that, an Indifference curve refers to a curve which represents a combination of two goods that provide consumers with equal level of satisfaction or provides equal utility.
  • Any point on the higher indifference curve is preferable to a point on a lower Indifference curve because each point on the higher Indifference curve provides consumer's with higher and equal utility or satisfaction than the points on a lower Indifference curve.
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