Question
A consumer's utility function is U(x; y) = min{x,y}. Given prices and income, the consumer chooses and optimal consumption bundle (x; y) = (40; 40).
A consumer's utility function is U(x; y) = min{x,y}. Given prices and income,
the consumer chooses and optimal consumption bundle (x; y) = (40; 40). Do
you have enough information to determine the price ratio px/py. If yes, determine
this ratio. If not, explain why.
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Foundations of Macroeconomics
Authors: Robin Bade, Michael Parkin
6th edition
132831007, 978-0132831000
