Final answer:
Indifference curves represent the different combinations of goods that result in the same level of utility or satisfaction. A low-income family would have indifference curves shifted inward compared to a more affluent family. This means that the low-income family would have lower levels of utility for the same combinations of goods compared to the more affluent family.
Step-by-step explanation:
Indifference curves represent the different combinations of goods that result in the same level of utility or satisfaction for individuals or families. For a low-income family, the indifference curves would be shifted inward compared to a more affluent family. This means that the low-income family would have lower levels of utility for the same combinations of goods compared to the more affluent family.
For example, a low-income family might be equally happy with just one meal per day and a small apartment, while a more affluent family would need three meals per day and a larger living space to be equally happy. This difference in preferences and satisfaction levels is reflected in the shape and position of their indifference curves.