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INDIFFERENT CURVE [2 records]

Record 1 2010-04-21

English

Subject field(s)
  • Econometrics
  • Currency and Foreign Exchange
CONT

(...) it does not emphasize what can happen in severe depression when the liquidity-preference curve is practically horizontal because interest rates are already so low that people are quite indifferent whether they hold M or the near-M government Treasury Bills that the Fed wants to swap for M.

OBS

for "liquidity-preference schedule" : The so-called "liquidity-preference schedule" of Fig. 18-1 (a) summarizes how an increase in M resulting from monetary policy (open-market purchases, etc.) leads initially to a reduced interest rate - from A’s 6 per cent to B’s 4 per cent.

French

Domaine(s)
  • Économétrie
  • Politique monétaire et marché des changes

Spanish

Save record 1

Record 2 2001-08-01

English

Subject field(s)
  • Econometrics
  • Saving and Consumption
CONT

An "indifference curve" or "equal-utility contour" depicts the points of equally desirable consumption. The indifference contour is usually drawn convex from below, in accordance with the empirical law of diminishing relative marginal utilities (or of substitution ratios).

CONT

indifference-curve analysis.

OBS

... the slope of the indifference curve is the measure of the terms on which - for very small changes - the consumer would be willing to exchange a little of his supply of one good in return for a little more of the other.

OBS

For "equal-utility contour": The food-clothing combinations that yield equal satisfaction can be plotted as a smooth "indifference curve" (or so- called "equal-utility contour").

Key term(s)
  • indifferent curve

French

Domaine(s)
  • Économétrie
  • Épargne et consommation
DEF

Le lieu géométrique des points correspondant aux assortiments de deux biens procurant au consommateur un même niveau de satisfaction.

CONT

Si on représente maintenant ces combinaisons de biens sur un graphique, la ligne incurvée, convexe vue de l'origine, concave vue de haut est une courbe d'indifférence.

Spanish

Campo(s) temático(s)
  • Econometría
  • Ahorro y consumo
DEF

Expresión gráfica en un sistema de coordenadas, que permite el trazado de líneas que expresan para cada uno de sus puntos una combinación concreta de consumo de dos bienes o grupos de bienes, que al consumidor le resulta indiferente con las situaciones expresadas por los demás puntos de la línea. Las curvas de indiferencia, a medida que se alejan del origen de las coordenadas, implican mayores consumos y, por ello, en principio, niveles crecientes de satisfacción.

Save record 2

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