Yhdentekevyyskäyriin

Yhdentekevyyskäyriin, or indifference curves, are a graphical representation used in microeconomics to illustrate consumer preferences. They show combinations of two goods that yield the same level of utility or satisfaction to a consumer. Each point on a single indifference curve represents a basket of goods that the consumer considers equally desirable. The further an indifference curve is from the origin, the higher the level of utility it represents, as consumers generally prefer more of both goods to less.

Indifference curves are typically downward sloping and convex to the origin. The downward slope signifies that to maintain the same level of satisfaction, if a consumer has more of one good, they must have less of the other. The convexity reflects the principle of diminishing marginal rate of substitution, meaning that as a consumer has more of good X, they are willing to give up progressively less of good Y to obtain an additional unit of good X.

A set of indifference curves, known as an indifference map, depicts the complete preference ordering of a consumer. While indifference curves for a single consumer can never intersect, this is a fundamental axiom of consumer theory. The shape and position of indifference curves are subjective and vary from individual to individual, reflecting their unique tastes and preferences. They are a core tool in analyzing consumer behavior and deriving demand curves.