Law of Equi-Marginal Utility

This law states that the consumer maximizing his total utility will allocate his income among various commodities in such a way that his marginal utility of the last rupee spent on each commodity is equal
Or
The consumer will spend his money income on different goods in such a way that marginal utility of each good is proportional to its price
Explanation

yet to write

Limitations of Law of Equi-Marginal Utility

• It is difficult for the consumer to know the marginal utilities from different commodities because utility cannot be measured.
• Consumer are ignorant and therefore are not in a position to arrive at an equilibrium.
• It does not apply to indivisible and inexpensive commodity.