JoVE Logo

登录

5.21 : Price Consumption Curve

When the price of a good changes, the consumer purchases a different optimal bundle of the two goods in response to the price change. Each time the price of a good changes, the optimal bundle changes. The Price Consumption Curve, or PCC, shows the collection of optimal bundles of two goods that a consumer purchases, given the changes in the price of one good. For example, as the price of books decreases, the student purchases a different optimal bundle. Similarly, when the price of books increases, they purchase another optimal bundle. By connecting all the optimal bundles across the price changes, the PCC for books is derived.

When analyzing the PCC, the effect of changes in the price of one specific good is observed while keeping the consumer's income, preferences, and the prices of the other good constant. This helps reveal how a consumer's optimal consumption bundle adjusts in response to price changes of that particular good whose price changes.

来自章节 5:

article

Now Playing

5.21 : Price Consumption Curve

Consumer Behavior

946 Views

article

5.1 : Concept of Utility

Consumer Behavior

253 Views

article

5.2 : Marginal Utility

Consumer Behavior

262 Views

article

5.3 : Relationship between Total Utility and Marginal Utility

Consumer Behavior

505 Views

article

5.4 : The Consumer Preferences I

Consumer Behavior

144 Views

article

5.5 : The Consumer Preferences II

Consumer Behavior

145 Views

article

5.6 : Indifference Curves

Consumer Behavior

163 Views

article

5.7 : Features of Indifference Curves I

Consumer Behavior

91 Views

article

5.8 : Features of Indifference Curves II

Consumer Behavior

128 Views

article

5.9 : Calculating Marginal Rate of Substitution

Consumer Behavior

360 Views

article

5.10 : Marginal Rate of Substitution

Consumer Behavior

169 Views

article

5.11 : Types of Indifference Curves

Consumer Behavior

214 Views

article

5.12 : Budget Constraint I

Consumer Behavior

81 Views

article

5.13 : Budget Constraint II

Consumer Behavior

58 Views

article

5.14 : Factors Affecting Budget Constraint I

Consumer Behavior

76 Views

See More

JoVE Logo

政策

使用条款

隐私

科研

教育

关于 JoVE

版权所属 © 2025 MyJoVE 公司版权所有,本公司不涉及任何医疗业务和医疗服务。