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Indifference curves represent combinations of two goods that provide the same level of utility or satisfaction to a consumer. They typically exhibit three main types: convex (which reflect diminishing marginal rates of substitution), linear (indicating perfect substitutes), and L-shaped (indicating perfect complements). Convex curves show that as a consumer substitutes one good for another, they require increasingly larger amounts of one good to maintain the same utility level. Linear curves imply that goods can be substituted at a constant rate, while L-shaped curves suggest that the goods must be consumed in fixed proportions.
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What is the different between indifference map and indiffirence curve?
Indifference curve is a curve that shows consumption bundles that give the consumer the same level of satisfaction. Indifference map, on the other hand Indifference curve is a graph of two or more indifference curves.
Features of indifference curve?
two indifference curve never cut each other..
What is shape of indifference curve?
what will be the shape of indifference curve if one of the two goods is a free commodity
Can a single indifference curve cross itself?
a single indifference curve cannot cross itself.
What are the major characteristics of an indifference curve?
The three major characteristics of an indifference curve are: 1. They are negatively sloped 2. They are convex to the origin 3. Indifference curve cannot be intersected
What is the different between indifference map and indiffirence curve?
Indifference curve is a curve that shows consumption bundles that give the consumer the same level of satisfaction. Indifference map, on the other hand Indifference curve is a graph of two or more indifference curves.
Features of indifference curve?
two indifference curve never cut each other..
What is shape of indifference curve?
what will be the shape of indifference curve if one of the two goods is a free commodity
Can a single indifference curve cross itself?
a single indifference curve cannot cross itself.
What are the major characteristics of an indifference curve?
The three major characteristics of an indifference curve are: 1. They are negatively sloped 2. They are convex to the origin 3. Indifference curve cannot be intersected
Explain the consumer equilibrium with the help of indifference curve?
Explain the consumer equilibrium with the help of indifference curve?
what is the indifference curve for two goods with imperfect substitutes?
the indifference curve has its usual negatively sloping shape
Is the height of an indifference curve the marginal rate of substitution?
Yes. The height of an indifference curve is the marginal rate of substitution.
Slope of indifference curve?
indifference curves slopes downward to the right
What are the characteristics of indifference curve?
1) Concave down. 2) Always decreasing. 3) Represents a fixed utility value (and therefore can never intersect another indifference curve). 4) Is considered equally optimal any where on the curve. 5) The lower the indifference curve is, the less optimal it is. The optimal indifference curve is the one furthest away from the origin.
Why does an indifference curve never meet?
No indifference curve can intersect because all points on indifference curve are ranked equally prefered and ranked either or less more prefered than every other point on the curve.rt
Derivation of demand curve using the indifference curve approach?
The derivation of an individual consumer demand curve can be done using the indifference curve approach. This is done by preparing the demand schedule of a consumer from the price consumption curve.
