Question

Equally spaced indifference curves in an indifference map indicate that:

• A. All indifference curves have same level of satisfaction
• B. Higher indifference curve yields satisfaction which is double from the one that is immediately below it
• C. Lower indifference curve yields less satisfaction than that from the higher one
• D. Level of satisfaction is not associated with the position of the individual indifference curve

Answer 1

The correct option is C Lower indifference curve yields less satisfaction than that from the higher one

In the case of an indifference map, lower IC represents less satisfaction than that from the higher one or a higher IC represents a higher level of satisfaction than the lower IC is the general norm. The spacing between the IC does not impact the level of satisfaction of the IC, a higher IC always represents higher level of satisfaction.