Question

how a consumer reaches the equilibrium position

Answer 1

An indifference curve represents the combinations of two goods that yield the same level of satisfaction to the consumer. However, in attaining maximum satisfaction, a consumer is constrained by his (a) fixed and limited money income, and (b) the prices of the commodities that he buys.

Answer 2

sufficient condition requries that the indifference curve must be convex to the origin at the point of the tangencey since these two conditions are filfilled at point e, the consumer is in equilibrium at the point thi is called interior solution where a consumer buys both the goods