Suppose that the householdrsquos preferences are
Suppose that the household’s preferences are represented by the utility function U(C0, C1)= 100C0^ 0.5 C1^0.25. If the real interest rate is 5 percent, what is the value of the MRS of this household when it has maximized its two-period welfare?
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suppose that the householdrsquos preferences are represented by the utility function uc0 c1 100c0 05 c1025 if the real
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