A consumer purchases two goods food and clothing he has the


A consumer purchases two goods, food and clothing. He has the utility function u(x1, x2) = x1x2 + 10x1, where x1 de- notes the amount of food consumed and x2 the amount of clothing. The consumer’s income is 100, the price of food is p1 and the price of clothing is p2.

a) Compute the equation for the consumer’s demand curve for food.

b) Compute the equation for the consumer’s demand curve for clothing.

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Business Economics: A consumer purchases two goods food and clothing he has the
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