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Emma consumes X and Y and has $50 to spend on those goods. Her utility function is given by u(X,Y) = X 0.25 Y 0.75
Emma consumes X and Y and has $50 to spend on those goods. Her utility function is given by
u(X,Y) = X0.25Y0.75
The price of X is $2 per unit and the price of Y is $5 per unit.
What is her optimal consumption bundle?
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