--%>
Assignment Help - homework help

Consumers equilibrium in case of two commodities

Describe the consumer’s equilibrium in case of two commodities (IC) approach.

Answer: Consumer equilibrium refers to a condition when he spends his specified income on purchase of a commodity (or commodities) in such a manner that yields him utmost satisfaction.

Condition of equilibrium: MU in terms of money = Price.

MU of product / MU of a Rupee = Price

   Related Questions in Microeconomics

  • Q : Equality between marginal revenue and

    A profit-maximizing monopolist which does not price discriminate and that faces a demand curve that is higher at some output levels than is the firm’s average variable cost curve finds out price and quantity where: (w) profit pe

    		•
  • Q : Define Economics Briefly describe the

    Briefly describe the term economics?

    		•
  • Q : Total revenue in profit-maximizing

    Total revenue (i.e., TR=PQ) for such profit-maximizing competitive firm equals area as: (a) 0P1gq5. (b) 0P1dq4. (c) 0P2cq3. (d) P2

    		•
  • Q : Perfectly price elasticity of supply

    The supply of textile employees in China is possibly most like the perfectly price elastic supply curve within: (w) Panel A. (x) Panel B. (y) Panel C. (z) Panel D.

    Q : Consequences of the price floor

    Consequences of the price floor: The consequences of price floor might be: (A) Surplus of the commodity (B) The government might resort to buffer stocks to absorb the excess in the market at the support price and sells the products to consumers beneat

    		•
  • Q : Income elasticity of inferior goods

    Negative income elasticities of demand entail those goods are: (1) luxuries. (2) necessities. (3) inferior. (4) substitutes. (5) expensive. Can anybody suggest me the proper explanation for given problem regarding

    		•
  • Q : What is the meaning of ex-ante savings

    Meaning of ex-ante savings: Ex-ante savings are expected savings or planned savings.

    		•
  • Q : Oligopolistic firms by intersecting two

    In this illustrated figure kinked demand curve model, there two demand curves intersect at point a since the other oligopolistic firms: (w) are rapid to follow both price increases and price decreases by rival firms. (x) will follow p

    		•
  • Q : Zxcvbnm

    dssfghjkgfdsaSDFGHJKHGFDSASDFGHJK SDFGHJKLHGFDSADFGHJKHGFDSFG DFGHJKHGFDSFGHJHGSDFGHJ

    		•
  • Q : Value of a product according place I

    I have a problem in economics on Value of a product according place. Please help me in the following question. The ice has a higher price in Texas, Dallas than Anchorage and Alaska. The raised value of the ice is due to its changing: (i) Form. (ii) Po

    		•