Tag Archives | Income-Consumption Curve

Income Consumption Curve: With Diagram | Indifference Curve | Economics

In this article we will discuss about the properties of an income consumption curve in different situations, with the help of suitable diagrams. With a given money income to spend on goods, given prices of the two goods and given an indifference map (which portrays given tastes and preferences of the consumers), the consumer will be in equilibrium at, point [...]

By Jerelin R|2017-05-30T09:20:17+05:30May 30, 2017|Indifference Curves|Comments Off

Shape of the Income-Consumption Curve (ICC)

In this article we will discuss about the shape of the Income-Consumption Curve (ICC), explained with the help of a diagram. The shape of an ICC depends on whether both the goods are normal, i.e., non-inferior, or whether one of them is normal, and the other one is inferior. If both the goods are normal (barring ηx, ηY = 0), [...]

By Vanshika Ghosh|2016-09-17T15:59:31+05:30September 17, 2016|Consumers Behavior|Comments Off