The conversation between human and AI assistant.
How do you graph indifference curves?
How do we know which combinations give the same level of satisfaction?
That's a good question. Indifference curves are drawn based on the assumption of consumer preferences being transitive, complete, and reflexive. This means that if the consumer prefers bundle A to bundle B and prefers bundle B to bundle C, then they also prefer bundle A to bundle C. Complete preference assumes that every bundle is preferred to any other bundle. Reflexive preference means that a bundle is preferred to itself.