Question

Indifference curves never intersect each other due to ______.

Options

• different level of satisfaction

• same level of satisfaction

• convex to the origin

• concave to the origin

Answer 1

Indifference curves never intersect each other due to different level of satisfaction.

Explanation:

An important property of indifference curves is that they may lie close to each other, but they never intersect. This follows from the fact that each indifference curve represents different level of satisfaction. Therefore, two indifference curves do not intersect or touch each other.