The price of good y is py2 whats the demand of good x


Suppose a consumer's utility function is U(X, Y)=X+2Y. The consumer has $8 to spend M=8. The price of good Y is Py=$2. What's the demand of good X respectively when Px=1/4, 1/2, 2 and 4 dollars?

Solution Preview :

Prepared by a verified Expert
Business Economics: The price of good y is py2 whats the demand of good x
Reference No:- TGS02664081

Now Priced at $10 (50% Discount)

Recommended (99%)

Rated (4.3/5)