Asked by Chance Walker on Jul 27, 2024
Verified
As a consumer moves down a given indifference curve, his or her total utility will diminish.
Indifference Curve
A graph showing different bundles of goods between which a consumer is indifferent, highlighting the trade-offs in consumption preferences.
Total Utility
The total satisfaction received from consuming a particular quantity of goods or services.
- Attain knowledge about the theory of indifference curves and their function in demonstrating consumer preferences.
Verified Answer
FE
Farouk Elabbassi
Jul 29, 2024
Final Answer :
False
Explanation :
An indifference curve represents a combination of two goods that give the consumer the same level of satisfaction or utility, so moving along an indifference curve does not change the total utility.
Learning Objectives
- Attain knowledge about the theory of indifference curves and their function in demonstrating consumer preferences.
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