10. Assume that a consumer's income is high enough so that with quasilinear preferences, her demand 134 curve for good 1 is given by the equation MU (x) = P. Using the Slutsky equation (Chapter 4 appendix), show that the total effect of a change in p1 on her desired consumption of good 1 is equal to the substitution effect. Slutsky equation Denote the demand for good I by X, the price of good j by P, income by M, and utility by U. The Slutsky equation is where ; j dpj ; _axi \u -* where - X; Jx; i u is the substitution effect and am aM is the income effect.