Consumer equilibrium: Refers to a situation where the consumer

Consumer Equilibrium refers to a situation where the consumer has achieved the maximum possible satisfaction from the quantity of the commodities purchased given his/her income and prices of the commodities in the market. In this article we will discuss about Consumer's Equilibrium. After reading this article you will learn about: 1. Meaning of Consumer’s Equilibrium 2. Assumptions 3. Conditions 4. Corner Solutions. Meaning of Consumer’s Equilibrium: A consumer is in equilibrium when given his tastes, and price of the two fig 15 goods, he spends a given money income on the purchase of two goods in such a way as to get the maximum satisfaction, According to Koulsayiannis, “The consumer is in equilibrium ... Consumer Equilibrium The state of balance obtained by an end-user of products refers to the number of goods and services they can buy, given their existing level of income and the prevailing level of cost prices. Consumer equilibrium permits a customer to get the most satisfaction possible from their income. Related link: Theory Of Consumer ... Hence, Consumer's Equilibrium is a situation in which a consumer has maximum satisfaction with limited income and does not tend to change his existing way of expenditure. As a consumer has to pay for each unit of commodity, he cannot purchase or consume unlimited quantities.