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Alex consumes only two goods, X and Y, and faces the following utility function: U = X Y. The marginal utility for X is MU

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Alex consumes only two goods, X and Y, and faces the following utility function: U = X Y. The marginal utility for X is MU y = Y" and the marginal utility for Y is MUy = X . Her initial budget is $400, and the prices of X and Y are $25 and $1. **Most answers should be round numbers. Answer everything to 1 decimal place, if need be** What are the amounts of X and Y that will maximize Alex's utility? X = Number Y= Number How many X and Y will Alex choose if the price of X suddenly fell to $4? X = Number Y= Number How many X and Y are in the substitution bundle? X= Number Y = Number What are the break-downs of the price change on the amount of X purchased? Substitution effect = Number Income effect = Number

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