Question

What is Indifference Curve, explain with the help of diagram and also explain its

properties.

Answer 1

An indifference curve is a graphical representation of a consumer's choice between two goods. The position of each point on this curve shows the properties of two goods or services (along the x and y axis), which brings the same utility to the individual.

Indifference curves have four properties; the curves can never cross, the farther out an indifference curve lies, the higher the utility it indicates, the indifference curves slopes downwards, and they are convex in shape.