<Li> Business and economics portal </Li> <Tr> <Td> <Ul> <Li> </Li> <Li> </Li> <Li> </Li> </Ul> </Td> </Tr> <Ul> <Li> </Li> <Li> </Li> <Li> </Li> </Ul> <P> The theory of consumer choice is the branch of microeconomics that relates preferences to consumption expenditures and to consumer demand curves . It analyzes how consumers maximize the desirability of their consumption as measured by their preferences subject to limitations on their expenditures, by maximizing utility subject to a consumer budget constraint . </P>

Why does a rational consumer choose higher indifference curve