Consumer Equilibrium
Concept of utility- Utility refers to want satisfying capacity of a commodity
Total Utility - The sum of utility derived from each successive unit of consumption of a commodity.
Marginal Utility-The utility derived from the consumption of an additional unit of a commodity
Formula- MUn=TUn-TUn-1
Total Utility - The sum of utility derived from each successive unit of consumption of a commodity.
Marginal Utility-The utility derived from the consumption of an additional unit of a commodity
Formula- MUn=TUn-TUn-1
Comments