a$.$ Show the optimum using indifference curves and a feasible set diagram.

b$.$ Show how this optimum might change if Alexei$$s indifference curves were $($i$)$ shallower,

and $($ii$)$ steeper.

c$.$ How would you interpret these changes in gradient? What do they suggest about Alexei$$s

preferences?

Answer rating: 100% (QA)

a To show the optimum using indifference curves and a feasible set diagram we need to plot Alexeis i... View the full answer