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4. Assume an individual has preferences of the form U(x1,x2) = (2x1 + x2 ). How many of the following statements are true concerning her
4. Assume an individual has preferences of the form U(x1,x2) = (2x1 + x2 ). How many of the following statements are true concerning her behavior? As she gets richer (i.e. her income goes up), she'll consume more of BOTH goods. She will always consume a positive amount of BOTH goods. The goods are substitutes (i.e. as the price of one good goes up, the individual will consume more of the other good) . The Law of Demand will always hold for EACH good. A. B. C. 3 4 E. None of the above statements are true
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