Ch. 21 Reflection

Economics seems to me to be the study of complicated tables and charts, numbers and statistics. For an obtuse guy like me, it can be maddening. If I take a different prospective and see that I have only limited resources to satisfy my wants and needs, I’ve only got a certain amount of choices. The indiffence curves are a cool concept. I tried to think of some products or bundles that suit my tastes equally. Budget constraint represents how much I can afford to spend. As a guy with limited resources I’m faced with the problem of having to make certain choices. There are many indifference curves. They have a negative slope and can never intersect each other. Indifference curves slope downward to the right indicating that the consumer prefers more of a particular product. If I’m given a choice between two products in an indifference curve and my demand for one item decreases, then it follows that the demand for the other product will go up.

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