Question

use indifference curve to show economic phenomenom. one graph related to face masks, another regarding airline flights.

Answer 1

An indifference curve gives out a combination of two goods which gives a person equal utility. Thus in terms of a graph depicting face masks, or shield, a person would be indifferent if his utility is anywhere on the indifference curve. This at any on the indifference curve, the person will be satisfied.

In the case of face masks, and face shield, when the consumer combines 5 face masks and 4 face shields, it gives the consumer equal satisfaction, and he is indifferent between the two goods and all points on the indifference curve give him the same utility. Thus if he consumes 9 F.M and 1 F.S, it gives the person the same utility as when he consumes 5 F.M and 4 F.S.

In the same way, regarding airline flights, on the indifference curve IC, he is indifferent between the two combinations of goods and is equally satisfied, when he consumes 4 sanitisers and 5 airline flights.

If he consumes goods which are anywhere below the IC, such as 4 airline flights and 2 sanitisers, then the combination will be inferior as his utility will not be maximised.

While combinations which are above the curve are preferable.