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Assume a consumer is consuming x1 and x2. Price of good 1 is p1 and price of good 2 is p2. Suppose the utility function of this consumer is14*,* = (*x*\x)n

1. Find the Hicksian demands for both goods 1 and 2. Show all of your steps

2. Find the expenditure function. Show all of your steps

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Answer #1

I ū (P2) - af p, a (a) 1-9 + Rea ū Pal-ap, 9/1-ajam

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