ükskõiksuskõver

Ukskõiksuskõver, a term originating from Estonian, translates to "indifference curve" in English. It is a fundamental concept in microeconomics, particularly within consumer theory. An indifference curve represents a set of consumption bundles that provide a consumer with equal levels of utility or satisfaction.

The defining characteristic of an indifference curve is that a consumer is equally happy with any combination of goods or services located on the same curve. Moving to a higher indifference curve signifies a greater level of utility, while moving to a lower one indicates a lesser level of utility. Indifference curves are typically downward-sloping, reflecting the assumption that if a consumer has more of one good, they will need less of another to maintain the same level of satisfaction. They are also generally convex to the origin, implying diminishing marginal rate of substitution. This means that as a consumer has more of one good, they are willing to give up less of the other good to gain an additional unit of the first.

Indifference curves are a theoretical tool used to analyze consumer preferences and to derive demand curves. They are not directly observable but are inferred from observed consumer behavior. The shape and position of indifference curves can vary depending on individual preferences.