Three properties of indifference curves are as follow.
Slopes downward from left to right : To consume more of one good the consumer must give up some quantity of the other good so that total utility remains the same.
Convex towards the origin : MRS declines continuously due to the operation of the law of diminishing marginal utility.
Higher indifference curves represents higher utility : Higher indifference curve represent large bundle of goods. Which means more utility because of monotonicpreference.
Explain the three properties of indifference curves.
Answers
Rajesh
Three properties of indifference curves are as follow.