Explain the properties of indiffernce curve
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Answer: Properties of Indifference curve are:-
1. It is convex to the origin because MRS diminished due to law of DMU.
2. MRS indicates the slope of IC.
3. Indifference curve slopes downward because to gain one consumer will always sacrifice another so that total satisfaction should remain same due to resources are limited.
4. Higher the IC shows the higher level of satisfaction: It represent large bundle of goods which means more satisfaction or utility because of monotonic preference.
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