The diagram illustrates two indifference curves. What do indifference curves show?
- AConsumers get more satisfaction on curve I₁ from consuming more of X and less of Y.
- BConsumers get more satisfaction on curve I₂ from consuming less of X and more of Y.
- CEach point on the curve represents the marginal rate of substitution of good X for good Y.
- DMovement from I₁ to I₂ cannot be made unless the indifference curves cross.