Match each of the terms on the left with its definition on the right. Click on the term first and then click on the matching definition. As you match them correctly they will move to the bottom of the activity.
consumption bundle utility utility function marginal utility welfare economics indifferent indifference curve marginal rate of substitution of X for Y (MRSXY) perfect substitute perfect complement bad budget constraint feasible bundle corner solution interior solution | A good that a consumer can trade for another good, in fixed units, and receive the same level of utility. A good or service that provides a consumer with negative utility. The area of economics concerned with the economic well- The rate at which a consumer is willing to trade off one good (the good on the horizontal axis X) for another (the good on the vertical axis Y) and still be left equally well off. A utility- The special case in which a consumer derives the same utility level from each of two or more consumption bundles. A curve that describes the entire set of consumption bundles a consumer can purchase when spending all income. A measure of how satisfied a consumer is. A set of goods or services a consumer considers purchasing. A mathematical function that describes the relationship between what consumers actually consume and their level of well- The additional utility a consumer receives from an additional unit of a good or service. A mathematical representation of the combination of all the different consumption bundles that provide a consumer with the same utility. A good from which the consumer receives utility dependent on its being used in a fixed proportion with another good. A utility- A bundle that the consumer has the ability to purchase; lies on or below the consumer’s budget constraint. |