Microeconomics

[1] Suppose a consumer has a utility function of u(x, y) = x05yo5 for the consumption of goods X and Y (in quantities x and y, respectively). Further, suppose the price of good X is p > () and the price of good Y is q > 0. (a) First consider the expenditure minimizing, dual problem. Suppose the con- sumer's goal is to enjoy a utility level of w > 0. Solve for the Hicksian demand functions (rather, the compensated demand curves). (b) What is the minimum attainable value, E. (c) Second, consider instead the utility maximization problem. Solve for the Wal- rasian demand functions. (d) Are the Walrasian demand functions homogeneous of degree zero? (e) What is the maximum attainable value, v. (f) Show that the solution to the utility maximization problem is the same solution as the expenditure minimization problem. Not only show the work but fully explain. (70 points)