Answer to Question #59268 in Microeconomics for Bob

Question

Draw a set of indifference curves for the following pairs of goods and briefly explain each answer.

a) Hamburgers and carrots for a vegetarian who neither likes nor dislikes meat. (Vegetarians do not eat meat.)

b) Peanut butter and jelly for an individual who will not eat peanut butter sandwiches or jelly sandwiches, but loves peanut butter and jelly sandwiches made with two parts peanut butter and one part jelly.

Answer 1

a) If hamburgers and carrots are the only two products for a vegetarian who neither likes nor dislikes meat, then the indifference curve will be look like a strongly vertical line with quantity of hamburgers on x-axis.

b) If peanut butter and jelly are the only two products for an individual who loves peanut butter and jelly sandwiches made with two parts peanut butter and one part jelly, then the indifference curve will be look like an upward-sloping line, which goes through the points (2;1) and (4;2) with the quantity of peanut butter on x-axis.