Question:medium

A consumer reaches equilibrium when:

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"Tangent" means the two lines just touch at one point. At this point, the slope of the budget line and the slope of the indifference curve are equal!
Updated On: May 13, 2026
  • Income becomes zero
  • Marginal utility becomes negative
  • Budget line is tangent to indifference curve
  • Prices increase continuously
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The Correct Option is C

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