InterviewSolution
Saved Bookmarks
| 1. |
State the law of equi marginal utility. |
|
Answer» Law of Equi-marginal utility states that the consumer in order to maximize his satisfaction should spend his money on two goods in such a manner that the ratio of marginal utility of a commodity to its price becomes equal to the ratio of marginal utility of other commodities to its price. Symbolically, MUx / Px = MUy/Py = MUn/Pn |
|