Perfect Substitutes

question 28

Multiple Choice

Perfect substitutes

• A)always have indifference curves with slopes of -1.
• B)always have indifference curves with slopes of 1.
• C)have fixed rates of trading off one good for another.
• D)have horizontal indifference curves.

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Definitions:

Information Processing System

A system, either computational or biological, that processes data or information following a set of procedures or algorithms.

Long-Term Memory

The aspect of memory in which information is stored for an extended period, potentially for a lifetime.

Cognitive System

A complex system in the brain responsible for thought, memory, learning, and perception.

Adaptation

The process of adjusting to changes in the environment, or a modification made to something to adjust to a new use or condition.