What is the indifference curve model best understood as?
A
It is an explanation of irrational behaviour, rather than consumer decision-making.
B
It is a complete description, because consumers always make perfectly informed choices.
C
It is a precise prediction, because preferences never vary between consumers.
D
It is a useful simplification, not a full description of real consumer choice.
7.2.4 limitations of the model of indifference curves Flashcards
22 flashcards on CIE Intl A Level Economics 7.2.4 limitations of the model of indifference curves: the key terms and definitions you need to recall.