2 4. Suppose Derek is a college student who gains utility from course materials B (textbooks, 1 newspapers, research journals, etc.) and food F according to U = 15B3F3. The per-unit price of course materials is $15 and the per-unit price of food is $25, and Derek has m= $1000 to spend upon these items. Suppose that Derek is informed that the per-unit price of course materials may increase to $20 but that it is not certain yet. Derek and his student friends mobilize a protest of the threatened price increase, and the university and elected representatives pledge to do something. Soon, Congress announces that by raising student fees (by reducing each student's budget, m) by $250, the price increase for course materials can be avoided. The universities will use the extra fees raised to purchase course materials that can be used by all students online via Wallace Library. Would Derek be pleased with this proposal? Second, what is the maximum amount Derek would pay to avoid this price increase? 2 4. Suppose Derek is a college student who gains utility from course materials B (textbooks, 1 newspapers, research journals, etc.) and food F according to U = 15B3F3. The per-unit price of course materials is $15 and the per-unit price of food is $25, and Derek has m= $1000 to spend upon these items. Suppose that Derek is informed that the per-unit price of course materials may increase to $20 but that it is not certain yet. Derek and his student friends mobilize a protest of the threatened price increase, and the university and elected representatives pledge to do something. Soon, Congress announces that by raising student fees (by reducing each student's budget, m) by $250, the price increase for course materials can be avoided. The universities will use the extra fees raised to purchase course materials that can be used by all students online via Wallace Library. Would Derek be pleased with this proposal? Second, what is the maximum amount Derek would pay to avoid this price increase