describe the assumption which is made to determine the consumers equilibrum position
Answers
Answered by
2
Answer:
Consumer's equilibrium is based on the assumption that the income of a consumer is constant and that he spends his entire income on purchasing two goods whose prices are given. ... The consumer can purchase combinations C or D but these will not yield him maximum satisfaction as they lie on lower indifference curve.
Answered by
0
Answer:
Consumer's equilibrium is based on the assumption that the income of a consumer is constant and that he spends his entire income on purchasing two goods whose prices are given. ... The consumer can purchase combinations C or D but these will not yield him maximum satisfaction as they lie on lower indifference curve.
Similar questions