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pls be with all the steps and in a clean write 2. (25 pts) The boy who goes to university has $180 income with which
pls be with all the steps and in a clean write
2. (25 pts) The boy who goes to university has $180 income with which he can buy textbook and other stationery goods. The market price for book is $6 and the price of all other goods is $2 a) Draw the budget line (Show all your computation on the graph). per unit. b) For the initial condition, the boy buys 60 units of other stationery goods and 10 books. Comment on the situation in which government program providing free 30 books (Draw the budget line again and compare the utility after govemment gives free 30 books). c) Under another in which govemment would provide $180 instead of providing book. Show that the boy would prefer cash to in kind transferStep by Step Solution
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