Question

what are the indifference curves and its properties if there is any change in the budget line what will be the its impact on the ic curve

Answer 1

Answer:

An indifference curve is a line showing all the combinations of two goods which give a consumer equal utility. In other words, the consumer would be indifferent to these different combinations.

(refer above-mentioned notes for better understanding. hope so my writing is understandable.)

Budget line

A budget line shows the combination of goods that can be afforded with your current income.

(Refer to the graph in the last image)

If an apple costs £1 and a banana £2, the above budget line shows all the combinations of the goods which can be bought with £40. For example:

•20 apples @ £1 and 10 bananas @£2

•10 apples @£1 and 15 bananas @£2

HOPE IT HELPED. MARK AS BRAINLIST.