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Explaining Utility Maximization with the Use of Indifference Curves
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This 10 page paper explains the way in which consumer utility maximization takes place. The paper considers the way in which utility can be measured at different budget levels with reference to total utility and marginal utility. The use of indifference curves is explained and utility maximization is demonstrated with reference to budget and indifference curves. The paper ends by considering why a consumer may be disadvantaged in utility terms if the price of one good increases. The paper includes several graphs to illustrate the points raised. The bibliography cites 12 sources.
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Pages:
10
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Filename:TS14_TEutmaxim.rtf |
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Paper Title:
Explaining Utility Maximization with the Use of Indifference Curves
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