An economic bad is a good that an individual does not desire to consume. An economic neuter is a good that you are neutral or indifferent too. For example if you do not live in Antarctica how much to you care about the amount of bike trails in Antarctica. Dimes Dollars Gin Perfect substitutes can be traded at a constant rate. 10 dimes will provide the same utility as 1 dollar.
Perfect compliments are goods that are consumed in the exact ration each time.
My gin and tonics are always 3 parts tonic 2 parts gin. Combining the two gives us consumer equilibrium. A consumer is in equilibrium when, given personal income and price constraints, the consumer maximizes the total utility or satisfaction from his or her expenditures. In other words, when give a budget the consumer will attempt to reach the highest possible indifference curve. We insert a budget line into our indifference map below to find the point that places the consumer at the highest possible utility.