Consumer Equilibrium Class 11 Notes Free !!top!! -

Consumer equilibrium is a state where a consumer spends their limited income on goods and services to achieve the highest possible satisfaction (utility), with no desire to change their spending pattern

Why is this the equilibrium point?

• The 1st slice of pizza gives high satisfaction.
• The 5th slice gives much less satisfaction.

4. Indifference Curve Approach (Ordinal Utility)