Q.State the meaning of Indifference curves and Elasticity of demand.

Indifference curve = combinations of two goods giving equal satisfaction; elasticity of demand = responsiveness of quantity demanded to a change in its price.

Indifference curve:

An indifference curve is a curve that shows the various combinations of two commodities that yield the same level of satisfaction (utility) to a consumer. Since every point on the curve gives equal satisfaction, the consumer is indifferent between the combinations, and the curve slopes downward from left to right.

Elasticity of demand: …