Answer to Question #279878 in Microeconomics for Prey

Question

A consumer has 150ph to spend on 2 goods. Discuss/Explain how he is going to attain his consumer equilibrium with the interplay of his budget and his level of satisfaction

Answer 1

Depending on the specified prices of the two goods, the consumer will come up with a graphical representation of various combinations of the two goods that he can afford at the specified prices of the products at the budget of 150ph. To satisfy his satisfaction, the consumer should consume a combination of goods on the budget line that is tangent to the indifference curve.