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Suppose that the average consumer is only choosing between buying shoes and concert tickets. Their indifference curves are given below: The vertical axis for shoes
Suppose that the average consumer is only choosing between buying shoes and concert tickets. Their indifference curves are given below: The vertical axis for shoes ranges from 0 to 16 in increments of 2. The horizontal axis for tickets ranges from 0 to 16 in increments of 2. The outermost curve falls from 2, 16 to 5, 4 it then flattens and ends at 12, 3. The middle curve falls from 1, 16 to 4, 3 it then flattens and ends at 11, 2. The innermost curve falls from 0, 14 to 3, 2 it then flattens and ends at 10, 1. Suppose that the average consumer has $300, shoes are $60 and concert tickets are $30 If this person is buying 1 pair of shoes and 8 concert tickets, they can improve their utility by buying (Click to select) tickets and (Click to select) pairs of shoes. To get the highest utility consistent with their budget, this person will buy pairs of shoes and concert tickets
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