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John likes both hot dogs and burgers. His utility function is=2+ U = 2 x + y , where x is number of hot dogs
John likes both hot dogs and burgers. His utility function is=2+
U
=
2
x
+
y
, where
x
is number of hot dogs and
y
is the number of burgers. The price of a burger is twice the price of a hot dog.(a)What can you say about the optimal bundle for John, i.e. the number of hot dogs and burgers he would purchase?
(b) What additional information would you need to give an exact response?
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