Indifference Curves
In
microeconomic theory, an
indifference curve is a
graph showing different bundles of
goods, each measured as to quantity, between which a consumer is
indifferent. That is, at each point on the curve, the consumer has no
preference for one bundle over another. In other words, they are all equally preferred. One can equivalently refer to each point on the indifference curve as rendering the same level of
utility (satisfaction) for the consumer. Utility is then a device to represent
preferences rather than something from which preferences come (Geanakoplis, 1987, p. 117). The main use of indifference curves is in the
representation of potentially observable
demand patterns for individual consumers over commodity bundles (Böhm and Haller, 1987, p. 785).
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