Use the Following to Answer Questions

question 128

Multiple Choice

Use the following to answer questions :
Figure: Harold's Indifference Curves
The figure shows three of Harold's indifference curves for bread and cheese.
-(Figure: Harold's Indifference Curves) Use Figure Harold's Indifference Curves.If the price of cheese is $2 per kilogram and Harold has $10 to spend on bread and cheese,Harold _____ his consumption of cheese as the price of bread rises from $1 to $2 per loaf,indicating that bread and cheese are _____.

• A) increases;substitutes
• B) increases;complements
• C) decreases;substitutes
• D) decreases;complements

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