All points below a given indifference curve are
A) less preferred to any point on the indifference curve.
B) preferred to any point on the indifference curve.
C) definitely affordable.
D) Both answers A and C are correct.
A
You might also like to view...
If an economic agent's returns to entrepreneurship is greater than his opportunity cost of entrepreneurship:
A) he will always make losses if he chooses to be an entrepreneur. B) he will most likely not choose to be an entrepreneur. C) he will always make profits if he chooses to be an entrepreneur. D) he will most likely choose to be an entrepreneur.
Why does nearly every purchase you make provide you with consumer surplus?
A. Because most consumers who trade in a market have a willingness to pay lower than the price, this means that few trades in a market provide consumer surplus. B. Because most consumers who trade in a market have a willingness to pay greater than the price, this means that most trades in a market provide consumer surplus. C. Most of the goods that a consumer purchases are expensive. Because these purchases are expensive, consumer surplus is very high. D. Most of the goods that a consumer purchases are inexpensive. Because these purchases are inexpensive, the consumer is provided with consumer surplus.