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Ch 22 Micro: Theory of Consumer Choice
Автор: Economics Simplified with Favour
Загружено: 2025-11-16
Просмотров: 61
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In this video, I explain budget constraint and how it is affected by income effect, price/substitution effect & its slope for different types of goods. I also distinguish how that differs from indifference curve & its types for consumer's utility satisfaction.
Lastly, I show how the combination of budget constraint and indifference curve determines optimization level & demand by comparing marginal rate of substitution (MRS) with wage.
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