Question

Consumer equilibrium 2 microeconomics explanation

Answer 1

Heya...

Consumer equilibrium is the situation of maximum satisfaction... When a consumer spends his income across all the goods with their prices with the motive of maximum satisfaction there...consumer equilibrium struck...

Equilibrium in two commodities case....

When the price at which consumer wants to subsitute a good for other get coincide with that rate at which market allows to subsitute...