CBSE Class 12 Economics Consumers Equilibrium

Read and download CBSE Class 12 Economics Consumers Equilibrium chapter in NCERT book for Class 12 Other Subjects. You can download latest NCERT eBooks for 2021 chapter wise in PDF format free from This Other Subjects textbook for Class 12 is designed by NCERT and is very useful for students. Please also refer to the NCERT solutions for Class 12 Other Subjects to understand the answers of the exercise questions given at the end of this chapter




A consumer is one who buys goods and services for satisfaction of wants. The objective of a consumer is to get maximum satisfaction from spending his income on various goods and services, given prices.

We start with a simple example. Suppose a consumer wants to buy a commodity. How much of it should he buy? One of the approaches used for getting an answer to this question is 'utility' analysis. Before using this approach, we would like to familiarize ourselves with some basic concepts used in this approach,


The term utility refers to the want satisfying power of a commodity. Commodity will possess utility only if it satisfies a want. Utility differs from person to person, place to place, and time to time. Marginal Utility is the utility derived from the last unit of a commodity purchased. It can also be defined as the addition to the total utility when one more unit of the commodity is consumed. Total Utility is the sum of the utilities of all the units consumed.

As we consume more units of a commodity, each successive unit consumed gives lesser and lesser satisfaction, that is marginal utility diminishes. It is termed as the Law of Diminishing Marginal Utility.

Please refer to the link below for - CBSE Class 12 Economics-Consumers Equilibrium



Click to View or Download pdf file
Click for more Other Subjects Study Material

Latest NCERT & CBSE News

Read the latest news and announcements from NCERT and CBSE below. Important updates relating to your studies which will help you to keep yourself updated with latest happenings in school level education. Keep yourself updated with all latest news and also read articles from teachers which will help you to improve your studies, increase motivation level and promote faster learning

Class 10 Boards Cancelled Class 12 postponed

Looking to the present situation of the pandemic and school closures, and also taking in account the safety and well-being of the students, it is decided as follows:   1. The Board Exams for Class XIIth to be held from May 4th to June, 14th, 2021 are hereby postponed....

CBSE Assessment Framework

The Central Board of Secondary Education (CBSE) today, announced a suggested competency-based assessment framework to strengthen India’s existing school education system for secondary level (classes 6-10) and improve the overall learning outcomes of students across...

SOF Science Olympiad Foundation

SOF~ The most desired name for Olympiads in the Educational World! SOF” refers to the Science Olympiad Foundation. It is an Academic Institution assisting educational based competition and enhancing competitive spirit among the School- Level students. The Science...

SOF IMO International Mathematics Olympiad

SOF IMO refers to the International Mathematics Olympiad organised by SOF, the Science Olympiad Foundation. SOF is the educational foundation involved in the academic upgradation of students. This Olympiad is a maths competitive examination conducted for the aspiring...

Latest CBSE Syllabus for 2021 2022 PDF Download

Latest Syllabus for Class 12 for 2021 2022 Latest Syllabus for Class 11 for 2021 2022 Latest Syllabus for Class 10 for 2021 2022 Latest Syllabus for Class 9 for 2021 2022 CBSE has issued the latest syllabus for the academic year 2021 2022 which is applicable for all...

Pariksha pe charcha 2021 video released by CBSE

Pariksha pe charcha 2021 video released by CBSE

Studies Today