The Indifference Curves of Two Investors Are Plotted Against a Single

Multiple Choice

The indifference curves of two investors are plotted against a single budget line. Indifference curve A is shown as tangent to the budget line at a point to the left of indifference curve B's tangency to the same line.

A) Investors A and B are equally risk averse.
B) Investor A is more risk averse than investor B.
C) Investor A is less risk averse than investor B.
D) It is not possible to say anything about the risk aversion of the two investors, but they will hold the same portfolio.
E) It is not possible to say anything about either the risk aversion or the portfolio of the two investors.