Episode 4 - Utility Analysis
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Description
Episode 4 discusses satisfaction or utility as a motive for consumption. Even though satisfaction is abstract or subjective, numerical value is used to differentiate between total utility and marginal utility. When the concept of marginal utility is integrated with budget constraints, it will result in the equilibrium of consumers. From this condition and equilibrium, arises the law of demand and demand curve, and the consumption substitution concept.
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