Get premium membership and access questions with answers, video lessons as well as revision papers.

Highlight the economic assumptions about consumer preferences

      

Highlight the economic assumptions about consumer preferences

  

Answers


Dana
Completeness: It is assumed that any two bundles can be compared. That is to say that the consumer can make a choice
Reflexive: we assume that any bundle is at least as good as itself
Transitive: if a consumer assumes that bundle X is at least as good as bundle Y and bundle Y is at least as good as bundle Z then bundle X is at least as good as bundle Z.

Dana05 answered the question on August 15, 2019 at 13:58


Next: How do price and income policies control inflation
Previous: Describe the shape taken by the indifference curve of perfect substitutes

View More Economics Questions and Answers | Return to Questions Index

Related Questions