Reference no: EM1319463
Q. Let's Assume to there are three goods; apples (A), mangos (M) also cantaloupe (C).
Assume to I am faced with 10 bundles to choose from all consisting of 3 pieces of fruit as follows (each piece of fruit costs $1 also I have $3 to spend):
A = (3A, 0M, 0C) B = (0A, 3M, 0C) C = (0A, 0M, 3C)
D = (2A, 1M, 0C) E = (1A, 2M, 0C) F = (0A, 1M, 2C)
G = (2A, 0M, 1C) H = (0A, 2M, 1C) I = (1A, 0M, 2C)
J = (1A, 1M, 1C)
If my preferences are such to I am indifferent among apples also mangoes but I prefer mangoes to cantaloupe then draw my highest indifference curve. Be sure to label all of the bundles to lie on the indifference curve to you draw