Question

What is an indifference curve? Explain the properties of indifference curve.

Answer 1

a curve on a graph (the axes of which represent quantities of two commodities) linking those combinations of quantities which the consumer regards as of equal value.
Properties:

1. Indifference Curves are Downward Sloping

2. Higher Indifference Curves Are Preferred to Lower Ones
3. Indifference Curves Cannot Intersect

4. Indifference Curves are convex (i.e. bowed inward)

In a Nutshell

Indifference curves are graphical representations of various combinations of two commodities which an individual considers equally valuable. They are used to analyze consumer preferences and a number of other concepts. There are four important properties of indifference curves that describe most of them: (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).

[Source: Google, Quickonomics]

Answer 2

Indifference curve refers to the graphical representation of various alternative combinations of bundles of two goods among which the consumer is indifferent .

Properties :-

♥ They are always convex to the origin .

♥ They slope downwards .

♥ They represent higher levels of satisfaction .

♥ They can never intersect each other .