M Homep X M Quizzes X MI Homep X M Exam R X M Grades X EURO 2 X Euro Pe X P Course X s/quizzing/user/attempt/quiz_start_frame_auto.d21?ou=801826&isprv=&qi=376600&cfql=0&dnb=0&fromQB=0&inProgress=0 23 1:37:25 remain Question 4 (5 points) Saved Suppose that consumer has the following utility function: U(X, Y) = In(2X) + 3Y. What would be the demand function for Y? Py where Py denotes price of good Y and I denotes income. O 1 1 PY 3PY - where Py denotes price of good Y and I denotes income. O where Py denotes price of good Y and I denotes income. O Py - 1 3P x - 1 where Py and Py denote prices of goods X and Y and I denotes income. Question 5 (5 points) Saved Suppose that consumer has the following utility function: U(X, Y) = x1/zy1/2 and Px = 1, Py = 4 and I = 720. Suppose now that Px goes up to 4. What is the magnitude of the income effect on good X? -180 180 290 Q Search OM Homep X M Quizzes X M Homep X M1 Exam R X M Grades X EURO 2 X Euro Pe X Course X s/quizzing/user/attempt/quiz_start_frame_auto.d21?ou=801826&isprv=&qi=376600&cfql=0&dnb=0&fromQB=0&inProgress=0 023 1:37:23 remaining O 3 PY - where Py denotes price of good Y and I denotes income. 3P x1 PY - 1 where Py and Py denote prices of goods X and Y and I denotes income. Question 5 (5 points) Saved Suppose that consumer has the following utility function: U(X, Y) = x1/zy1/2 and Px = 1, Py = 4 and I = 720. Suppose now that Px goes up to 4. What is the magnitude of the income effect on good X? O-180 180 90 -90 Question 6 (5 points) If price consumption curve is positively sloped, one good is normal and the other good is inferior two goods are complements both goods are normal goods two anode are cubetititoc Q Search F6 F7 F8 F9 10 F12MI Homep X MI Quizzes X M Homep X MI Exam R X M Grades X EURO 2 X Euro Pe P uizzing/user/attempt/quiz_start_frame_auto.d21?ou=801826&isprv=&qi=376600&cfql=0&dnb=0&fromQB=0&inProgress=0 13 Question 6 (5 points) If price consumption curve is positively sloped, one good is normal and the other good is inferior two goods are complements both goods are normal goods two goods are substitutes Question 7 (5 points) Suppose that consumer has the following utility function: U(X, Y) - X1/3Y1/2. What would be the share of income spent on X and Y, respectively? O 1/2, 1/2 1/3, 1/2 215, 3/5 3/5, 2/5 Question 8 (5 points) Suppose Lagrange multiplier is 5. Then, If price of either goods decline by one unit, utility goes up five utils. Q SearchM Homep X M Quizzes X M Homep X MI Exam R X M Grades X EURO 2 X Euro Pe X uizzing/user/attempt/quiz_start_frame_auto.d21?ou=801826&isprv=&qi=376600&cfql=0&dnb=0&fromQB=0&inProgress=0 3 Question 8 (5 points) Suppose Lagrange multiplier is 5. Then, If price of either goods decline by one unit, utility goes up five utils. O If we relax the budget constraint by one unit, utility goes up by five utils. It does not matter since it only facilitates constrained optimization. If we give consumer one unit more of any good will increase utility by five utils Question 9 (5 points) Saved Suppose that consumer has the following utility function: U(X, Y) - In(2X) + 3Y. What would be the demand function for X? O PY where Py and Py denote prices of goods X and Y and I denotes income. O Px 3PY where Py and Py denote prices of goods X and Y . 3 P X PY where Py and Py denote prices of goods X and Y 2 P X where Py denotes price of good X and I denotes income. Q Search