Micro

Consumer Behaviour

Easy

Given the prices of goods and income of the consumers, the consumer can buy any bundle (X $_1$ , X $_2$ ) such that P $_1$ X $_1$ + P $_2$ X $_2$ ≤ M. This inequality in the above equation is called__________.

Consumer's Indifference Curve

Consumer's Budget Constraint

Consumer's Budget Line

Consumer's Total Budget

✅ Correct Option: 2

The inequality $P_1X_1 + P_2X_2 \leq M$ states that the consumer's expenditure cannot exceed her income. This inequality is called the consumer's budget constraint. The budget line refers only to the equality $P_1X_1 + P_2X_2 = M$ , where the entire income is spent.

2025: 2 June Shift 1

A shift in the budget line, when prices are constant, is due to.

2024: 16 May

Which of the following are correct statements?

2025: 2 June Shift 1

Match List-I with List-II

List-I	List-II
(A) Consumer's equilibrium	(I) ΔY/ ΔX
(B) Slope of IC	(II) Budget line rotates to the right starting from the Y axis
(C) Px falls	(III) Consumer should move downwards to the right along the IC
(D) MRSxy > Px/Py	(IV) Optimum choice of the consumer

Choose the correct answer from the options given below:

2025: 26 May Shift 2

Match List-I with List-II

List-I	List-II
(A) Marginal rate of substitution	(I) Slope of Budget line
(B) MUₓ/MUᵧ=Pₓ/Pᵧ	(II) more of at least one good and no less of the other good
(C) -(Pₓ/Pᵧ)	(III) Law of equi marginal utility
(D)Monotonic Preferences.	(IV) Slope of Indifference curve

Choose the correct answer from the options given below:

2026: 12 May Shift 1

The law of demand holds in which of the following condition?

2023: 1 June Shift 1

Savita consumes 2 goods X and Y. If marginal utility of X is 30 utils and that of Y is 45 utils. Prices of both goods X and Y are Rs. 3 and Rs. 5 respectively. Savita will consume ________.

Given the prices of goods and income of the consumers, the consumer can buy any bundle (X1_11​, X2_22​) such that P1_11​X1_11​ + P2_22​X2_22​ ≤ M. This inequality in the above equation is called__________.

Solution

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CUET Economics Past Year Questions (Topic-Wise)

Given the prices of goods and income of the consumers, the consumer can buy any bundle (X $_1$ , X $_2$ ) such that P $_1$ X $_1$ + P $_2$ X $_2$ ≤ M. This inequality in the above equation is called__________.