W hen you walk into a store, you are confronted with thousands of goods that
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- Điều hướng trang này:
- Quantity of Pizza Quantity of Pepsi
| indifference curve
a curve that shows consumption bundles that give the consumer the same level of satisfaction FIGURE 2 The Consumer’s Preferences the consumer’s preferences are represented with indifference curves, which show the combinations of pizza and Pepsi that make the consumer equally satisfied. Because the consumer prefers more of a good, points on a higher indifference curve (I 2 here) are preferred to points on a lower indiffer- ence curve (I 1 ). the marginal rate of substitution (MRS) shows the rate at which the consumer is willing to trade Pepsi for pizza. It measures the quantity of Pepsi the consumer must be given in exchange for 1 pizza. Quantity of Pizza Quantity of Pepsi 0 C B 1 A D Indifference curve, I 1 I 2 MRS marginal rate of substitution the rate at which a consumer is willing to trade one good for another 65875_ch21_ptg01_433-460.indd 438 15/10/13 11:53 AM Copyright 201 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s). Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it. CHAPTER 21 the theOrY OF CONSUMer ChOICe 439 consumption to less, higher indifference curves are preferred to lower ones. In Figure 2, any point on curve I 2 is preferred to any point on curve I 1 . A consumer’s set of indifference curves gives a complete ranking of the consumer’s preferences. That is, we can use the indifference curves to rank any two bundles of goods. For example, the indifference curves tell us that point D is preferred to point A because point D is on a higher indifference curve than point A. (That conclusion may be obvious, however, because point D offers the con- sumer both more pizza and more Pepsi.) The indifference curves also tell us that point D is preferred to point C because point D is on a higher indifference curve. Even though point D has less Pepsi than point C, it has more than enough extra pizza to make the consumer prefer it. By seeing which point is on the higher indif- ference curve, we can use the set of indifference curves to rank any combination of pizza and Pepsi. tải về 1.28 Mb. Chia sẻ với bạn bè của bạn:
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