In order for an individual to achieve consumer equilibrium through the consumption of two goods,A and B,that individual must fulfill the condition
A) TUA = TUB.
B) TUA/PA = TUB/PB.
C) MUA = MUB.
D) MUA/PA = MUB/PB.
E) MUB/PA = MUA/PB.

Question

Quizplus · Accepted Answer

Consumer equilibrium is achieved when the ratio of the marginal utility to the price of one good equals the ratio of the marginal utility to the price of the other good, i.e., MUA/PA = MUB/PB.

In Order for an Individual to Achieve Consumer Equilibrium Through