## 1. Explain consumers equilibrium, in case of Single commodity, with the help of utility schedule.     The law of D.M.V can be used to explain consumers equilibrium in case of a single commodity. Therefore, all the assumptions of Law of D.M.U are taken as assumptions of consumer's equilibrium in case of single commodity. A consumer purchasing a single commodity will be at equilibrium, when he is buying such a quantity of   that commodity which gives him maximum satisfaction. The number of units to be consumed of the given commodity by a consumer depends on 2 factors.  1. Price of the given commodity.  2. Expected utility from each successive unit. To determine the equilibrium point, consumer compare the price of the given commodity with its utility. Being a rational consumer, he will be at equilibrium when marginal utility is equal to price paid for the  commodity.  Consumer Equilibrium in case of Single Commodity.   Units of x Price (Px) Marginal Utility Marginal Utility in units Difference maximum 1 10 20 20 10 2 10 16 16 6 3 10 10 10 0 4 10 4 4 -6 5 10 0 0 -10 6 10 -6 -6 -16 Subject: Economics, asked 5 days, 3 hours ago