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Pam is rich and at this high income level, her demand for good X is independent of income and given by X*=121- 4 p x
Pam is rich and at this high income level, her demand for good X is independent of income and given by X*=121- 4 px/py where px and py denote respectively the price of good X and the price of good Y.
Suppose initially the price of good Y is 4 and the price of good X is 1.8. Find Pam's own-price substitution effect if the price of good X increases by 3.6 and enter it below.
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