The revealed preference approach to the derivation of indifference curve
A. Assumes stability over time of an observed person’s tastes.
B. Assumes that all people have identical tastes.
C. Relies on repeated observations of the market behaviour of a single person.
D. Is correctly described by both (A) and (C).
Answer:D
The revealed preference approach to the derivation of indifference curve
A. Assumes stability over time of an observed person’s tastes. B. Assumes that all people have identical tastes. C. Relies on repeated observations of the market behaviour of a single person. D. Is correctly described by both (A) and (C).