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Natasha's preferences over novels and short stories books are well behaved. The graph shows a few of her indifference curves and bundles A, B, C,

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Natasha's preferences over novels and short stories books are well behaved. The graph shows a few of her indifference curves and bundles A, B, C, D and E. About them, select the correct option below. (Remember, - means indifference.) Y C E D B A X Natasha is indifferent between any of the bundles A, B, C and D but prefers E to any of them. Although her preferences are well behaved, the fact that Natasha is indifferent between C and D violates the transitivity assumption. Since Natasha prefers bundle C to both bundles A and B, we say that A-B. Natasha definitely prefers bundle E to bundle C

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