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An indifference curve does not touch either of the axis.' Defend or Refute. |
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Answer» Solution :The given statement is defended. It happens because indifference curve ANALYSIS assumes CONSUMPTION of TWO goods. `**` If indifference curve touches Y-axis, it would mean that consumption of COMMODITY on the X-axis is zero. `**` Similarly, if indifference curve touches X-axis, it would mean that consumption of commodity on the Y-axis is zero. |
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