State briefly the concept of indifference curve.

1.	State briefly the concept of indifference curve.
Answer» \xa0An\xa0indifference curve\xa0is a graph showing combination of two goods that give the consumer equal satisfaction and utility. Each point on an\xa0indifference curve\xa0indicates that a consumer is\xa0indifferent\xa0between the two and all points give him the same utility.\xa0The theory of\xa0indifference curves\xa0was developed by Francis Ysidro Edgeworth, who explained in his 1881 book the mathematics needed for their drawing; later on, Vilfredo Pareto was the first author to actually draw these\xa0curves, in his 1906 book.\xa0An\xa0indifference curve\xa0is a graphical representation of a combined products that gives similar kind of satisfaction to a consumer thereby making them\xa0indifferent. Every point on the\xa0indifference curve\xa0shows that an individual or a consumer is\xa0indifferent\xa0between the two products as it gives him the same kind of utility.

Discussion