explain consumer equilibrium?
Answers
Answered by
2
The state of balance achieved by an end user of products that refers to the amount of goods and services they can purchase given their present level of income and the current level of prices. Consumer equilibrium allows aconsumer to obtain the most satisfaction possible from their income.
Answered by
2
consumer equilibrium
The point at which a consumer reaches optimum utility, or satisfaction, from the goods and services purchased given the constraints of income and prices. This is based on the assumption that consumers attempt to get maximum utility from their purchases and that competition exists for the item in question. Equilibrium is reached when the consumer purchases the assortment of goods which best meets his satisfaction requirements given his financial constraints.
The point at which a consumer reaches optimum utility, or satisfaction, from the goods and services purchased given the constraints of income and prices. This is based on the assumption that consumers attempt to get maximum utility from their purchases and that competition exists for the item in question. Equilibrium is reached when the consumer purchases the assortment of goods which best meets his satisfaction requirements given his financial constraints.
Similar questions