Write any four assumptions of indifference curve.

The four key assumptions of indifference curves are:

Illustration of **intersecting indifference curves (IC₁ and IC₂)**, which violates the **assumption of non-intersection**.

Convex indifference curve showing **diminishing marginal rate of substitution (MRS)** as movement progresses from A to C.

Non-intersecting indifference curves **IC₁ (higher utility)** and **IC₂ (lower utility)**, illustrating the **assumption of higher indifference curves represent

Higher Indifference Curve Reflects Higher Satisfaction An indifference curve farther from the origin represents a higher level of utility (satisfaction) than one closer to the origin. Consumers always prefer bundles on higher curves.
Indifference Curves Are Downward Sloping The slope is negative because if a consumer gets more of one good, they must give up some of the other good to remain equally satisfied.
Indifference Curves Do Not Intersect Two indifference curves cannot cross because if they did, it would imply conflicting levels of satisfaction at the same bundle of goods, which violates the principle of transitivity.
Indifference Curves Are Convex to the Origin The marginal rate of substitution (MRS) diminishes as one moves down the curve, reflecting the law of diminishing marginal utility. This convexity ensures that indifference curves bow inward toward the origin.

Discussion

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