How to Calculate Marginal Utility and Marginal Rate of Substitution (MRS) Using Calculus
Вставка
- Опубліковано 7 лют 2025
- Video tutorial on marginal utility (MU) and marginal rate of substitution (MRS) using calculus used in Consumer Theory. Video shows how utility is constant along a single indifference curve.
Like MyBookSucks
/ partymorestudyless
Related Videos:
Playlist on Consumer Theory
• Consumer Theory
I cant believe im watching this 9 years later. I'm enjoying your teaching.thank you
Thank you so much for these videos ! I spent days trying to understand this topic and you taught it in a few minutes. i even told my lecturer about your videos and advised that everyone should check you out !
Instablaster
did i just hear "mental masturbation"
LMAOOOO
I'm deaaaadddd @economicsfun liking this
You are very welcome! Make sure you like MyBookSucks on FaceBook (see link in video description). This will help me spread the word about the free videos.
You are very welcome. Make sure you like MyBookSucks on FaceBook (see link in video description). This will help others find the educational videos.
As an engineering student, I hate hate hate my intro to macro/micro economics textbook! The author is so scared to use math that he gives longwinded, roundabout explanations about everything, when he could just show some basic calculus. It'd be a heck of a lot more interesting too! :( Thank you for these vids. :D
thanks i mental came
Hey thank you so much for this video!! It literally saved my bacon for this semester in public finance!
You're the real mvp.... thank you for this
Thank you for making this very clear!
It was the bit at the end that was puzzling me.
Thanks again!
Wow ! You are the best instructor here on UA-cam ! every one else sucks ... ;)
thanks for the video i have been lost in my intermediate micro class for weeks... you just cleared everything up in ten minutes wow you should come lecture at my university !!
all I can say your amazing, And I got a 2.1 last year just by watching your video and barely looked at my silly lecture notes! Thank a lot.
Did he say mental masturbation at the end? I'm so confused...
Yes he did! ;-)
Great video! it was really helpful to me! thanks so much. I was sitting in class today and I did not understand what my prof was talking about.. all those indifference curves and MRS calculation. you are a life saver ! :) thanks!
Terrific job! You made things so much easier to visualize
Wait, why is MRS = dy/dx at the beginning, then MRS= -dy/dx at the end? why are they not consistent? isn't MRS the slope of the indifference curve (always negative), then at the end, if MRS = -dy/dx, it always receives positive values? So which one is that, positive or negative?
I've added this and some others of yours to my urbanecondetroit channel as a refresher for my students.
Good question. dx and dy is notation. It reads as "I took the partial derivative of U(x,y) with respect to good x (or dx). So the dx tells you I am taking the derivate with respect to x.
The function is U(x,y) and I probably should a video with an equation.
You are very welcome MrCheese! Good luck in your studies as well.
thank you for all ...
please just more video
💯💯💯
Thank you so much. I wish you keep your motivation and bring a lot of good teaching to life.
sorry but can not find the numerical example to help please let me know where I can find it. Thank you in advance
I know someone's already asked a similar question but at 7:21 when you're deriving the utility with respect to x, where does the 2nd 'dx' come from? (the part where it says (dU/dx)dx)
In your reply you said that the extra dx shows that you're taking the partial derivative of U with respect to x, but isn't that already shown by the the dx that's in the denominator of dU/dx? In other words, if dU/dx is read as 'the derivative of U with respect to x', why would you then need the 2nd dx to show that you're taking the derivative with respect to x? Just confused as when doing calculus we've only ever put dx like that when we're doing integrals
Hope my question makes sense + thanks for the video, it's really useful - this is only part I don't really get
You are so good at teaching! Thanks!
i was promised a numerical example!!!
great video by the way, thank you
Great JOb. i wish teachers also taught this way in class.
Thanks again! I would encourage you to like MyBookSucks on Facebook (see the link in the description of the video). This will help other students find MyBookSucks and help ease their pain in economics.
Again, thanks for the positive feedback you have given. It means a lot to me to hear from students.
Economicsfun you rock! Seriously very helpful, and I know others think so too
Thanks a lot for explaining in simple words.
@plumstreetmusic thanks. I take it you are teaching an advanced course in economics.
Nice video, thank you.
Which tool are you using for these videos? Its looks quite awesome how you can pull the numbers around on the screen.
Cool video. Very helpful. It’d be more helpful for some of us to have actual values in these examples. For me I have to see an actual problem worked out. You did good until you got to the end of the video in the last 3 minutes.
At 2:40 to know the MRS he calculate delta y and delta x, but why did he do (60-40) / (20-30) ? In France, to calculate the "change in" we do Final value - Start value, so (40-60) / (30-20), why did he do the inverse?
kadir mutlu Maybe they calculate it the other way around? you get the same results so I don't think it matters :)
me too I wondering the same thing, I learned it this way, final value - initial = the change of either X or Y, doing this respectly .
Because he is going from point A to point B. At point A the value is 60 for Y and 20 for X. He wants to visualize the movement from the graph. If he did it your way with the graph, it would not make sense.
7:15 the notation is wrong, no? Total differentiation should be normal d and not curly d.
I didn't see that coming, great videooo!
Thank you so much... you have really helped me
The best teacher ever, why can't all other moron teachers explain things like this, I'm indebted to your forever sir.
Sorry for the delayed response... This video is part of a playlist and if you go to the channel economicsfun you should see the playlist on Consumer Theory. See link in this videos description.
Thank you for your comment, much appreciated.
You got that right! Make sure you like MyBookSucks on FaceBook (see link in video description). We post all sorts of college humor stuff.
Good luck in your classes!
13 years? wow
Great to hear the videos are helping you out. I noticed you are in Jamaica and I have never been there. Maybe I could have an impromptu economics lecture on the beach :)
Thank you so much, this was very helpful
I love youuuuu, and all of your amazingly helpful videos!
+kindalindaable Ahh! aren't you sweet. I love you too and thanks for your kind words.
+Economicsfun THANK YOUUUUUU
Did that numerical example ever end up being made? Kind of hard to process all of this using just algebra.
Since UA-cam limits the number of characters, that is really hard to read! You could go to MyBookSucks facebook page and send a message (with the formula in a word document). You can see the link in the video description.
Thank you so much. It is always great to good feedback and recommendations. Good luck in your classes too and make sure you let me know if you have any special requests.
Also... like MyBookSucks on Facebook (see the link in video description). I post new material there and also college humor.
What app do you use for teaching? like moving the characters.
an individual's marginal utility for commodities are given by the following relation MUx= 40-5x and MUx= 20-3y. what is his marginal rate of substiturion in th3 consumption at the consumption basket X= 3, Y=5? if Px= $5 and Py= $1. Does the basket represent consumption equilibrium? Please solve this sir.
Can there be a situation where the Utility Curve is not constant? Will the equations be the same?
Wow!!
Outstanding 🍁💜💐
@plumstreetmusic Wayne State is a great school. If you think of anything else your students need to review let me know I am always looking for ideas. I did enjoy your deriving demand from consumer budget video. And I did repost as a video response to my video (see below).
Thanks you sir for your explanation is so goods
Thanks bro😊
The actual utility functions are hard to write in comments since I can use exponents. If you google Cobb-Dougla Utility Function, then you will see a typical utility function.
Wow thank you so much. Great the videos are helping you in your classes too. Make sure you like MyBookSucks on FaceBook (see link in the video description). You will help me get the word out.
Thank you so much for your video! It's really helpful and easy to understand. :))
Great to hear and thank you for your feedback. It is much appreciated.
This is awesome. Thank you so much
Wonderful vieeo.
THANK YOU ! You are a great person ..............
Hi thanks for this useful video..I just have one question. If utility doesn't change along an indifference curve, towards the end of the video, isn't the ratio of the marginal utilities always -1, as the marginal utilities added together equals 0, one value must be the negative of the other (a+b=0, therefore a/b=-1).
Thank you😊😉
Great explanation of the content. What is the actual function for U? e.g. U=Sqrt(x*y) something along those lines?
I'm sorry I looked through the videos in this playlist and still cannot find the one with the numerical example. Do you remember the video title?
Thanks so much!
Great work.I really appreciat
@economicsfun Yep. The senior/masters level Urban Economics and Real Estate Markets course at Wayne State University in Detroit
Hello , Why is Delta x of a and b 20 - 30 and not 30 -20 ? Regards
Hello sir! Thank you for your video, i hope you will be able to answer this question since its an old video :/ its a simple and stupid question but when do i calculate MRS using the first method and when do i do it using calculus? Thank you!
I don't get how we use MUx/MUy when we don't know MU (besides that they're variables)....???
sorry, where is the channel economicsfun, and also what links were you referring to in this video? I can't find any other link apart from mybooksuck, and whenever I visit this website there is nothing at all...
Please,,, may i know,, which types software uses,to creat such as video....like economical graph, and write, like this video.....
..
Pls know me
Nicely done. Tasteful animation. How you thought about extending the analysis to include a price increase for x and then derive a demand curve for x?
@economicsfun Thanks. You are doing a great job. I will look through your collection a make suggestions.
Did you do all of this in PowerPoint? If not what did you use to get these beautiful animations?
I use a variety of different tools not powerpoint. I use Final Cut Studio to put the pieces together.
Good.
thank u for this !!
'algerbretically' 7:57
Nice.
Perfect!
did he just say what I think he said
yes and may the force be with you :)
Thank you so much! This helped a lot! :)
you are the man
utility function u= 4q-q^2 how to solve this problem
Where do the dx and the dy after MUx and MUy come from? (7:20)
If MC is constant, What does AVC look Like on a graph?
I hope both sides of your pillow stays constantly cool. I love you.
Thank You!!!
Thanks for your observation and I could not agree more. I believe that calculus is skipped because calculus is taught so poorly and the texts are equally bad (mybooksucks). I have experienced students do much better with the calculus explanation even if they have no prior math or calculus background.
Please draw graph of utility function u = 4q - q^2
Nice
how find MRS at a point?
Thanks man
DerivaTEEV
Where can I find said "numerical example"?
Daniel Grant Here is another video with some numbers ua-cam.com/video/INSKJS15cZk/v-deo.html. Good Luck.
@blake81088 Thanks and that is great to hear. My ultimate goal is this very thing.
i stopped at "mental masturbation" (by the way: i felt the same when I understood this context at uni) 😂
Where's the numerical example
awesome