An extra unit of x adds nothing to a consumers satisfaction


Question: Draw the indifference curves between X and Y where:

(a) An extra unit of X adds nothing to a consumer's satisfaction unless accompanied by an extra unit of Y.

(b) The consumer may always be compensated for the loss of one unit of X by being given two units of Y, regardless of the proportions in which they are originally consuming them.

(c) The consumer must be compensated for consuming extra units of X by being given extra units of Y, the amount of Y needed to compensate for consuming one unit of X increasing as the level of consumption of X increases.

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Engineering Mathematics: An extra unit of x adds nothing to a consumers satisfaction
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