2.1 . Give short , concise definitions of the following a. price -consumption curve h. budget constraint b. income-consumption curve i. technology c. Engel curve j. short run :1. Giffen good k. long run e. substitution effect E. production function f. income effect g . consumer surplus 2.2. List all of the assumptions relating to the consumer that are made to construct model of the consumer's buying behavior 2.3. Suppose you observe , on several occasions , Bob's buying behavior in a armarket " that sells only 2 goods x and y. Suppose that for each observed basket (x,y) is purchased , you know the prices of the goods px and py, and the amount of money m had to spend. In other words, you are able to observe Bob's demand functions Lix(px,py,m) and), = hy(px:Pylm)' Construct a model to explain Bob's buying behavior . That is, state the options you make and give an argument to show how the assumptions in your model ob's buying behavior are linked to, and therefore explain his demand functions . Do discuss the properties of those demand functions - only the means by which the uni functions are obtained from preferences and how your model explains Bob's ved demand behavior 2.4. Explain why utility maximization subject to the budget constraint implies that :onsumer purchases that basket of commodities for which a. all income is used up. b. the marginal rate of substitution equals the price ratio . c. the marginal utilities per dollar of the two goods are equal . Ill use a diagram in your answer, make the diagram large and label all curves, axes, points . 2.5. Explain why , if all prices and the consumer's income were multiplied by any ive number (for example , doubled ), there would be no change in his [her utility - mizing basket . 2.6. Give a geometric example that illustrates how the character of the utility - mizing basket changes if one or more of the assumptions in answer (2-2) are ,ened or discarded . Make your diagram large and label all curves , axes , and points