[amp_mcq option1=”that maximum satisfaction is obtained at minimum sacrifice” option2=”that the consumer is in static and unsatisfactory position” option3=”that all consumers reach the highest indifference curve” option4=”that equilibrium of buyers matches with the equilibrium of sellers” correct=”option1″]<\/p>\n
The correct answer is: A. that maximum satisfaction is obtained at minimum sacrifice.<\/p>\n
Consumer equilibrium is a situation in which a consumer has allocated their income in such a way that they are maximizing their utility, or satisfaction, from their purchases. This occurs when the consumer is consuming at a point on their highest indifference curve, which is a curve that represents all combinations of goods that give the consumer the same level of satisfaction.<\/p>\n
Option B is incorrect because consumer equilibrium does not mean that the consumer is in a static and unsatisfactory position. In fact, consumer equilibrium is a state of maximum satisfaction.<\/p>\n
Option C is incorrect because not all consumers reach the highest indifference curve. Some consumers may be content with consuming at a point on a lower indifference curve, even though they could reach a higher level of satisfaction by consuming more of one good and less of another.<\/p>\n
Option D is incorrect because consumer equilibrium does not necessarily mean that the equilibrium of buyers matches with the equilibrium of sellers. In fact, it is possible for the equilibrium of buyers to match with the equilibrium of sellers without the consumer being in equilibrium. This can occur if the consumer is not able to purchase the goods that they want at the prices that they are willing to pay.<\/p>\n","protected":false},"excerpt":{"rendered":"
[amp_mcq option1=”that maximum satisfaction is obtained at minimum sacrifice” option2=”that the consumer is in static and unsatisfactory position” option3=”that all consumers reach the highest indifference curve” option4=”that equilibrium of buyers matches with the equilibrium of sellers” correct=”option1″]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[12],"tags":[],"class_list":["post-48143","post","type-post","status-publish","format-standard","hentry","category-economics","no-featured-image-padding"],"yoast_head":"\n