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18. Consumer Choice and Behavioral Economics
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18. Consumer Choice and Behavioral Economics
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18. Consumer Choice and Behavioral Economics / Indifference Curves for Perfect Substitutes and Perfect Complements / Problem 8
Problem 8
How do indifference curves for perfect substitutes reflect consumer preferences?
A
They show that consumers prefer to consume goods in fixed proportions.
B
They show that consumers are willing to trade one good for another at a constant rate.
C
They show that consumers have diminishing marginal utility.
D
They show that consumers are indifferent to the quantity of goods consumed.
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