Principles of Microeconomics / Unit 5 MIC 0401 short lesson, about 20 seconds
What Consumer Theory Explains
Captions available
The idea
Consumer theory explains how a household with a fixed budget and given prices picks the bundle of goods it prefers. Tastes are personal; the constraint is not.
In practice
Two shoppers with the same income and prices fill different carts.
Where people slip
The course treats a household as one decision maker. Who inside it decides is a real question the model sets aside.
Your place on the trail
Every lesson rests on earlier ones and opens later ones. Tap any to jump.
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