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Expl the reaction of consumer when …

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Expl the reaction of consumer when price ratio is lower than MRS

    • Posted by Palak Chandani 7 years, 8 months ago

    CBSE > Class 12 > Economics
    • 2 answers

    Yami Wadhwa 7 years, 8 months ago

    when price ratio is less than MRS the consumer would tend to move towards the equilibrium by giving up some amount of good 2 to increase the consumption of good 1.

    0Thank You

    Vinay Kapri 7 years, 8 months ago

    The consumer will react in this situation by consuming more of Good X in place of Good Y.

    0Thank You

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