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Consider the following utility function U(X,Y) = X1/4Y3/4 Initially PX= 2 PY= 4 I = 120 Suppose the price of X changes to PX= 3.

Consider the following utility function U(X,Y) = X1/4Y3/4

Initially

PX= 2

PY= 4

I = 120

Suppose the price of X changes to PX= 3. Perform a decomposition and fill in the table

X Y

Substitution Effect

Income Effect

Total Effect

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