This chapter is about how we as consumers make our choices. The exercises for this chapter will help you become more familiar with the key tools of consumer theory: the budget line and the indifference curve, and how they interact. You’ll encounter budget constraints and utility functions presented with a slightly different twist than in the textbook, challenging you to think outside the box—and outside the math box too!

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Income, Prices and Preferences

  • Kjetil Bjorvatn

摘要

This chapter is about how we as consumers make our choices. The exercises for this chapter will help you become more familiar with the key tools of consumer theory: the budget line and the indifference curve, and how they interact. You’ll encounter budget constraints and utility functions presented with a slightly different twist than in the textbook, challenging you to think outside the box—and outside the math box too!