Define indifference curve? Write its properties.
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An indifference curve is a graph showing combination of two goods that give the consumer equal satisfaction and utility. Each point on an indifference curve indicates that a consumer is indifferent between the two and all points give him the same utility.
: (1) Indifference curves are downward sloping, (2) higher indifference curves are preferred to lower ones,
(3) indifference curves cannot intersect, and (4) indifference curves are convex (i.e. bowed inward).
: (1) Indifference curves are downward sloping, (2) higher indifference curves are preferred to lower ones,
(3) indifference curves cannot intersect, and (4) indifference curves are convex (i.e. bowed inward).
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