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it is a line showing all possible combinations of two goods(goods-1 and good-2) which a consumer can buy with his given money income and the price of the goods prevailing in the market.anywhere on the budget line the consumer spends his entire income on either good1 or good2 or both the goods. each point on the budget line indicates the different combinations of good1 and good2 which a consumer can buy with his income.
in indifference curve analysis consumer attains his equilibrium when the slope of price line/budget line is equal to the slope of indifference curve.equilibrium is attained at that point where ic curve is tangent to the price line.....
What else can I help you with?
Why is the CPI a useful took for economists and business?
The CPI (consumer price index) is useful because it allows observation of the rate of inflation in a given economic region.
Because demand curve and supply curve always change market never attain equilibrium does this imply the concept of equilibrium is not useful?
Well it means that equilibrium is basically a dynamic process and it adjusts to the new situation where basic variables of the market has registered changes and the new endowment point becomes the need of the situation.
What is meant by dark side of consumer behavior?
people throwing things out that are perfectly useful to buy a replacement with marginal differences
Which economic indicator would be most useful for figuring out how much something you bought today cost ten years ago?
Consumer Price Index
Is quasi-concave utility a reliable measure for assessing consumer preferences in economic decision-making?
Quasi-concave utility is a useful measure for understanding consumer preferences in economic decision-making. It helps to capture how individuals make choices based on their preferences and constraints. However, it is important to consider other factors and models in conjunction with quasi-concave utility to get a comprehensive understanding of consumer behavior.
How is budget line useful in reaching consumer equilibrium?
Budget line helps the consumer to decide to purchase a particular combination that falls in his budget line although a different combination is more desirable as it will give more satisfaction level.
When is a budget useful?
Budget is useful when you are running out of money and have to cut spending.
How research useful in the economics?
Research is useful in economics to know the need of the consumer.
The most useful budget figures are developed by?
Figures relating to a budget that are developed from the "bottom-up" following a participatory process are going to be the most useful.
A budget is useful only if you?
Apply it and monitor its purpose on a regular basis
What do you get from rocks?
Valuable minerals, useful material, and eventually consumer products.
What does Christian Consumer Credit Counseling provide?
It is a process that involves offering education to consumers about how to avoid incurring debts that cannot be repaid through establishing an effective Debt Management Plan and Budget.
What best explains why a budget is useful?
Budgets help people reach their financial goals.
Where can one find consumer reviews for the company called Buyowner?
One can find consumer reviews for the company called Buyowner online. Some of the useful websites are My Three Cents, Pissed Consumer and Ripoff Report.
What is good invention someone should invent?
A good invention is something that is very useful and needed by the consumer. Advancements in older inventions are always useful as well.
Why is the CPI a useful took for economists and business?
The CPI (consumer price index) is useful because it allows observation of the rate of inflation in a given economic region.
Because demand curve and supply curve always change market never attain equilibrium does this imply the concept of equilibrium is not useful?
Well it means that equilibrium is basically a dynamic process and it adjusts to the new situation where basic variables of the market has registered changes and the new endowment point becomes the need of the situation.
