Economics · Economics
Why can't two indifference curves intersect each other?
- 1Because it violates the assumption of monotonicity.
- 2Because it implies that the consumer is irrational.
- 3Because it implies that the same bundle of goods can provide two different levels of satisfaction.✓
- 4Because indifference curves are always convex to the origin.
Correct answer
Because it implies that the same bundle of goods can provide two different levels of satisfaction.
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