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. lConsiclera utilitv maximising individual with utility qu,y : xn'25y0'?5 and income m : 100. Initially the consumer faces prices 39,, = 2 and p3,

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. lConsiclera utilitv maximising individual with utility qu,y : xn'25y0'?5 and income m : 100. Initially the consumer faces prices 39,, = 2 and p3, = 1. Which of the following is the correct solution to the utility maximisation problem? a. x(2,1,100) = 10.0, y(2,1,100) = 125.0,u(2,1,100) = 155.5 b. x(2,1,100) : 12.5, y(2,1,100) : 75.0, u(2,1,100) : 4-7.9 c. x(2,1,100) : 6.0, y(2,1,100) : 25.0, u(2,1,100) : 55.5 cl. x(2,1,100) = 75.0, y(2,1,100) = 75.0,u(2,1,100) = 100.5 e. None of the above are correct . Continuing with the previous question, suppose the price of x falls to px : 1. Which of the following is the absolute value of the compensating variation for the price change? a. 21.1 b. 126.2 c. 15.9 cl. 36.2 e. None of the above are correct

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