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Answer in Microeconomics for tran thi chinh #111426

Author:
April 21st, 2023

Solution:

a) To maximize utility, the following conditions must be met simultaneously:

“frac{MU_x}{p_x}=frac{MU_y}{p_y}”

“q_xp_x+q_yp_y=I”

I=9 ; “p_x=2” ; “p_y=1”

Only one option satisfies these conditions: x=2, y=5.

b)

“TU=TU_x+TU_y=18+30=48”

c) If “p_x=1” then x=4, y=5,

d)

“Q_d=6-2p”

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