Problem 2. Utility Maximization, Graphical Solutions. (24 points) For each of the three utility functions below, use simple graphs and intuition to nd the utility-maximizing solution for 2:; and z; . In all the problems below, $1 has price pl. 3:; has price p; and income equals M. Do not set up a Lagrangeen, but do make sure to explain the intuition of what you are doing. For all 3 parts below: (i) Draw indifference curves using solid lines (ii) Draw budget constraints using dashed lines (iii) Write your nal answer for a; and z; in the space indicated. 1. A rst individual likes fruit .11 but cannot consume fruit .12; thus. she does not care about good 2. Her utility function is u(21,2:2) = 53;. Draw indifference curves and budget line in the ($1,222) space and find the solution .15} (111,112, M) and 2:; (111,112, M). Discuss briey features of the solution you found. (8 point)