Multiple Choice
An indifference curve slopes downward because
A) it shows that people are only happy when they increase consumption of all goods.
B) it shows that when a person gives up some of good X they must increase their consumption of good Y to remain indifferent.
C) it shows that when a person gives up some of good X they can afford to increase their consumption of good Y.
D) it is a demand curve without prices.
E) the quantity demanded increases as the price falls.
Correct Answer:

Verified
Correct Answer:
Verified
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