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Posted: March 26th, 2024
Suppose we draw an indifference map diagram to explore
Suppose we draw an indifference map diagram to explore the hours of work a worker will choose to do. Which of the following willnot apply to this diagram?a)The indifference curves slope downwards to the right because both income and leisure are desirable.b)The curves get flatter to the right because both income and leisure have diminishing marginal utility.c)The indifference curves furthest from the original represent the highest total utility.d) An increase in the wage rate shifts the earnings leisure line, with the new line being parallel to the initial line.
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