Normally Shaped Indifference Curves Are Bowed Towards the Origin of the Graph.The

question 97

Multiple Choice

Normally shaped indifference curves are bowed towards the origin of the graph.The reason for this shape is

• A) that indifference curves farther away from the origin represent higher levels of utility.
• B) diminishing marginal rate of substitution.
• C) the law of demand.
• D) that the marginal rate of substitution is constant along an indifference curve.
• E) the principle of diminishing marginal rate of relative price.