Utility: Utility represents the satisfaction or happiness an individual derives from consuming a good or service. It is subjective and varies from person to person.
Budget Constraint: A budget constraint refers to the limit on consumption choices imposed by an individual's income and the prices of goods and services available in the market.
Indifference Curve: An indifference curve shows all possible combinations of two goods that provide equal levels of utility or satisfaction for an individual. It helps analyze consumer preferences and trade-offs between different goods.