Answer to Question #46602 in Microeconomics for Rahul Kumar
illustrations in support of your answer.
The consumer is in equilibrium position when marginal utility of money expenditure on each good is the same.
The Law of Equi-Marginal Utility states that the consumer will distribute his money income in such a way that the utility derived from the last rupee spent on each good is equal.
The consumer will spend his money income in such a way that marginal utility of each good is proportional to its rupee.
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