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Theory of Consumer Behaviour UNIT 5 CONSUMER EQUILIBRIUM: CARDINAL AND ORDINAL APPROACHES Structure 5.0 5.1 5.2 5.3 5.4 5.5 5.6 5.7 5.8 5.9 5.10 5.11 5.12 5.13 5.14 5.15…

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Chapter 5 Chapter 4. The Theory of DemandPRIVATE Part A, © 2002, Kwan Choi Optimal consumption bundle A consumer’s problem is to choose chose x1 and x2 to maximize U(x1,x2)…