2) A consumer's utility function is ulz,y) -2/2+2y1/2 Does the consumer find that commodities x, y...
3. (14 points) A consumer's utility function is given by U(x,y) = x1/2y1/2 (1) Find the consumer's Marshallian demand functions. (2) Find the consumer's compensated demand functions. (3) Suppose the price of good y is Py = $1 per unit and the consumer's income is 1 = $20. Find the total effects on good x and good y when the price of good x increases from px - $1 per unit to p} = $2 per unit.
2. Consider a consumer with the utility function ility function U(x, y)= min{3x, 5 y} that is ,J)= min (3x, that is, the two goods are perfect complements in ratio 3:5. The prices of the two goods are andy , and the consumer's income is $220. Determine the optimum consumption basket.
2) A consumer's utility function is a(x,y) = (a) Find the consumer's optimal choice for x as a function of income I and prices px,Py' (b) Sketch the demand curve for x as a function of its own price Pz when py = 10, 1 = 100. (It may be easiest to plot a few points.)
2) A consumer's utility function is a(x,y) =- 3x3 y (a) Find the consumer's optimal choice for x as a function of income I and prices pa,Py. (The answer is a little messy.) (b) Sketch the demand curve for x as a function of income I when prices are Pz 2,Py-32. (It may be easiest to plot a few points.)
2) A consumer's utility function is 3x3 y (a) Find the consumer's optimal choice for x as a function of income I and prices pa,Py. (The answer is a little messy.) (b) Sketch the demand curve for x as a function of income I when prices are P 2,Py 32. (It may be easiest to plot a few points.)
3. A consumer's preferences over a and y are given by the utility function u(x,y) - 2vr 2/y. The individual's income is I $100. The price of a unit of good c is $2, while the price of a unit of good y is S1. a) Graphically describe: i. the consumer's preferences for r and y ii. the budget constraint (b) Find the optimal x that the consumer would choose. You may assume (c) What is the consumer's MRS at...
4) A consumer's utility function is (a) Find the consumer's optimal choice for x, y as functions of income I and prices pa,Pv. 10 (b) Sketch the demand curve for y as a function of other price pz when py I-100
3) A consumer's utility function is u(x,y)22 (a) Find the consumer's optimal choice for x, y as functions of income I and (b) Sketch the demand curves for x, y as functions of income I when prices prices pa,Py. (Be careful!) are p 16,Py 2. (Be careful!)
3) A consumer's utility function is 2y (a) Find the consumer's optimal choice for x, y as functions of income I and prices px,py. (Be careful!) (b) Sketch the demand curves for x, y as functions of income I when prices are px = 16, p,-2. (Be careful!)
) A consumer's utility function is given by: U(x,y) = 10xy Currently, the prices of goods x and y are $3 and $5, respectively, and the consumer's income is $150 . a. Find the MRS for this consumer for any given bundle (x,y) . b. Find the optimal consumption bundle for this consumer. c. Suppose the price of good x doubles. How much income is required so that the Econ 201 Beomsoo Kim Spring 2018 consumer is able to purchase...