Question

Explain why indifference curves cannot intersect.

Explain why indifference curves cannot intersect.

Homework Answers

Answer #1

Ans - Indifference curve is a curve which shows the satisfaction of consumer with the use of 2 goods. It is one of the property of Indifference curve that they never intersect each other. If they intersect each other, it will show many equilibrium points which is against the laws of Indifference curve.Along with this , with the intersection of curves, the tangent point will show that goods of both the higher and lower Indifference curve gives equal satisfaction which is absurd.So Indifference curves can't intersect each other.

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