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Indifference Curve
(redirected from Indifference curves)

   Also found in: Wikipedia 0.01 sec.
Indifference curve
The expression in a graph of a utility function, where the horizontal axis measures risk and the vertical axis measures expected return. The curve connects all portfolios with the same utility.

Indifference Curve
A curve on a graph where the x-axis represents a quantity of one good and the y-axis represents a quantity of a second good where the curve represents the universe of quantities with the same utility for a rational investor. The indifference curve is convex, or roughly U-shaped.


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This decision process can be understood by considering the consumer behaviour analyses in the theory of indifference curves (Koutsoyiannis 1979).
Despite the fact that Ricardo was unaware of the concepts of indifference curves and production possibility frontier, these are routinely used to express his theory of comparative advantage.
8) The indifference curves corresponding to each equilibrium are also represented.
 
 
 
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