2. Preferences and Utility Functions

MIT Principles of Microeconomics, Fall 2018 Instructor: Prof. Jonathan Gruber View the complete course: YouTube Playlist: This video focuses on the demand curve, derived from how consumers make choices, and the supply curve, which is how firms make production decisions. Chapters 00:00 Title slate 00:11 Lecture Start 01:13 Model Assumptions 05:54 Indifference Curves 09:23 Four Properties 13:27 Real Example ( job search ) 15:28 Utility Functions 18:31 Margin Utility 24:49 Marginal Rate of Substitution 30:13 Why graph’s not concave 32:37 (Q) Addictives & MRS 34:31 Price of Different Sizes of Goods License: Creative Commons BY-NC-SA More information at More courses at Support OCW at We encourage constructive comments and discussion on OCW’s YouTube