Page 30 - DECO401_MICROECONOMIC_THEORY_ENGLISH
P. 30
Pavitar Parkash Singh, Lovely Professional University Unit-3: Consumer Theory–Cardinal Utility Analysis
Notes
Unit-3: Consumer Theory–Cardinal Utility Analysis
CONTENTS
Objectives
Introduction
3.1 Cardinal Utility Analysis
3.2 Total and Marginal Utility
3.3 Difference and Relation between Total Utility and Marginal Utility
3.4 Significance of the Difference between Total Utility and Marginal Utility
3.5 Law of Diminishing Marginal Utility
3.6 Basic Assumptions
3.7 Explanation
3.8 Derivation of Consumer’s Demand Curve Through the Law of Diminishing Marginal
Utility
3.9 Law of Equi-Marginal Utility or Utility Analysis and Consumer’s Equilibrium
3.10 Modern Statement of the Law
3.11 Importance of the Law
3.12 Criticisms of the Law
3.13 Consumer’s Surplus: An Illustrative Description
3.14 Summary
3.15 Keywords
3.16 Review Questions
3.17 Further Readings
LOVELY PROFESSIONAL UNIVERSITY 23
