Indifference Curve

Question 1

Indifference curve

Answer 1

It is the locus of all the combinations of two commodities at which a consumers satisfaction is the same

Question 2

Properties of indifference curve

Answer 2

• it is negatively sloped
• it is convex to the origin
• two indifference curves can’t intersect
• an indifference curve can not touch each axis
• a high indifference curve to the right of another represents a higher level of satisfaction and preferable combination of the two goods