100% satisfaction guarantee Immediately available after payment Both online and in PDF No strings attached
logo-home
Previously searched by you
Previously searched by you
logo
Lecture 2 notes Microeconomics (BFE0020) $4.47   Add to cart
Quickly navigate to
Preview
  2.  
  3. The University Of Huddersfield (UoH)
  4.  
  5. Microeconomics (BFE0020)

Class notes

Lecture 2 notes Microeconomics (BFE0020)

 3 views  0 purchase
  • Course
  • Microeconomics (BFE0020)
  • Institution
  • The University Of Huddersfield (UoH)

This document summarizes Lecture 2 on utility functions and consumer behavior in microeconomics, designed to help with exam preparation. It explains how consumers make choices to maximize their satisfaction (utility) with the resources they have. Key topics include the utility function, which shows...

[Show more]

Preview 1 out of 2  pages

Document information

  • October 7, 2024
  • 2
  • 2024/2025
  • Class notes
  • N/a
  • All classes

Subjects

  • market
  • consumer
  • utility
  • trade
  • lecture
  • notes revision
  • exam styled

Written for

  • The University of Huddersfield (UoH)
  • Unknown
  • Microeconomics (BFE0020)
All documents for this subject (3)

Seller

avatar-seller
khadijahzahir

Content preview

Microeconomics- Lecture 2

Consumer Theory-Utility Function and Consumer Theory:

Rationale choice theory: Axioms of rational choice

 Consumers develop their actions study consumer behavior
 Behavior focused on consumption of goods and services determined by preferences of
individuals
 Preference person declares her orders A to B


Preferences-

 I prefer A to B always comparing two or more goods completeness A/B two situations
indifferent
 A and B attractive indifferent both goods are equal


Axiom- statement taken to be true further reasoning can be done

Completeness- always have an opinion

Continuity- if an individual claims that A is preferable to B than situations close to A will be
preferable to B for example good A which is coke will be more preferred than good B which is
Fanta.

Transivity-indivdiual prefers A to B prefers B to C prefers A to C.

 Two goods reduce quantity of them always find an increase in quantity of the other
exactly compensates for it

Exhange and Substitution

Basket- is a grouping of goods X and Y consumers following basket E.

 Point A represents a basket of goods X and Y.
 The indifference curve represents all baskets.

The benefits of buying summaries with Stuvia:

Guaranteed quality through customer reviews

Guaranteed quality through customer reviews

Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.

Quick and easy check-out

Quick and easy check-out

You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.

Focus on what matters

Focus on what matters

Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!

Frequently asked questions

What do I get when I buy this document?

You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.

Satisfaction guarantee: how does it work?

Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.

Who am I buying these notes from?

Stuvia is a marketplace, so you are not buying this document from us, but from seller khadijahzahir. Stuvia facilitates payment to the seller.

Will I be stuck with a subscription?

No, you only buy these notes for $4.47. You're not tied to anything after your purchase.

Can Stuvia be trusted?

4.6 stars on Google & Trustpilot (+1000 reviews)

67474 documents were sold in the last 30 days

Founded in 2010, the go-to place to buy study notes for 14 years now

Start selling
$4.47
  • (0)
  Add to cart