Question
Assume p1 = p2 = 1 and the consumer has an income m = 10. Suppose that the consumer's utility function is u(x 1 ,
Assume p1 = p2 = 1 and the consumer has an income m = 10. Suppose that the consumer's utility function is u(x 1 , x 2 ) = x 1 x 2 . Find the consumer's budget constraint. Find the consumer's optimal consumption bundle (x , x ).
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Macroeconomics
Authors: David Colander
8th edition
978-0078004407, 78004403, 978-0077247171, 77247175, 978-0077307110
