Consumer Behavior: Core Economic Models and Decision Making

Successful marketing and effective economic analysis rely on a deep understanding of consumer psychology and rational choice theory. This course provides that essential foundation by teaching you the established models that govern how individuals interact with markets. By the end of this course, you will be able to interpret core microeconomic principles, apply models of consumer utility and budget constraints, and analyze how factors like price changes and income shifts influence purchasing patterns. What you'll learn: * Learn the fundamental concepts of scarcity, opportunity cost, and how different economic systems operate * Understand the utility approach to consumer choice, including marginal utility and the law of diminishing returns * Apply the indifference curve approach to map consumer preferences and analyze the impact of budget constraints * Analyze demand elasticity and interpret how price changes affect total revenue for various goods and services * Practice identifying common cognitive biases (such as anchoring and framing) that influence modern consumer decision-making * Configure and interpret the relationship between price consumption curves and income consumption curves The course begins by establishing core microeconomic definitions and concepts, then systematically moves into detailed analysis of consumer preferences, budget constraints, and the derivation of demand curves through written explanations and practical exercises. This course is designed exclusively for absolute beginners in economics, marketing, or business studies. No prior knowledge of economic theory or statistics is required. Start reading today to build your analytical foundation in consumer behavior.