Professional Documents
Culture Documents
En Slide c5-Ktvm-21 22 (SV)
En Slide c5-Ktvm-21 22 (SV)
CHAPTER 5:
THE THEORY OF CONSUMER CHOICE
Problem
A consumer has an income of 2,000,000 VND per month allocated to two
goods: food and entertainment, the price of food is P(F)= 15,000 VND/unit,
the price of entertainment is P(M) = 10,000 VND/unit. Assume that the
consumer has utility function: TU= 2(F^(1/3))*(M^(2/3)) (F: the amount of
food; M: the amount of entertainment). Find M and F to maximize utility?
Solution
• Utility (U): Lợi ích
• Total Utility (TU): Tổng lợi ích
• Marginal Utility (MU): Lợi ích cận biên
• Principle of Diminishing Marginal Utility: Quy luật lợi ích cận biên giảm dần
• Condition for maximizing utility: Tìm điều kiện để tối đa hóa lợi ích
Condition for maximizing utility
Tìm điều kiện để tối đa hóa lợi ích
QX
Four Properties of Indifference Curves
3. Indifference curves
QY
cannot cross.
Suppose they did.
Consumer should prefer
B to C, since B has B
more of both goods.
Yet, consumer is equally satisfied C A
at points B and C: U0 U3
Consumer likes C as much as
A (both are on U3).
Consumer likes A as much as QX
B (both are on U0).
Four Properties of Indifference Curves
4. Indifference curves
QY
are bowed inward.
A
Consumer is willing to
give up more units of 6
Y for an unit of X if he 1
has few X (A) than if B
he has many (B). 2
1 U0
QX
Slope of Indifference Curve
Marginal Rate of
MRS = slope of
Substitution (MRS – Tỷ lệ thay thế biên):
indifference curve
the rate at which a consumer QY
= - Muxx/MUYY
is willing to trade one good for another. A
21
Kết luận: Điều kiện để tối đa hóa lợi ích khi lựa
chọn tiêu dùng (cân bằng tiêu dùng)