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Consumer theory

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Marginal utility and total utilityVisualizing marginal utility MU and total utility TU functionsUtility maximization: equalizing marginal utility per dollar Deriving demand curve from tweaking marginal utility per dollarLesson overview - Total utility and marginal utility
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Utility maximization: equalizing marginal utility per dollar Marginal utility free response example
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Budget lineIndifference curves and marginal rate of substitutionOptimal point on budget lineTypes of indifference curvesDecisions within a budget constraint

About this unit

How do you decide what to produce or trade? How can you maximize happiness in a world of scarcity. What are you giving up when you choose something (i.e., opportunity cost)?