Which of the following is NOT true about indifference curves? O They are downward sloping O They do not cross O The one is closer to the origin is preferable to indifference curves further from the origin O They are bowed in toward the origin

Which of the following is NOT true about indifference curves? O They are downward sloping O They do not cross O The one is closer to the origin is preferable to indifference curves further from the origin O They are bowed in toward the origin

Microeconomic Theory

12th Edition

ISBN:9781337517942

Author:NICHOLSON

Publisher:NICHOLSON

Chapter3: Preferences And Utility

Section: Chapter Questions

Problem 3.4P

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Concept explainers

Marginal Rate of Technical Substitution

MRTS reaches a manufacturer when a part of the product is lowered to sustain the manufacturing level when the other part is extended. It is the level of the quantity that is lowered when one extra volume is used, and the output is unchanged.

Preferences and Utility Analysis

Before understanding what is preference and utility analysis, it is very important to understand the terms preference and utility separately.

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