Question 1: Suppose you get utility from two goods, Eggs (E) and Bacon (B). Specifically, your utility function is given by: U (E, B) = 3E + 2B. The price of Eggs is $1/egg, Bacon costs $1 per slice, and you earn $6/day. Part (a) Given these preferences, prices, and income, how many Eggs and pieces of Bacon will you choose to consume? Putting Eggs on the y-axis and Bacon on the x-axis, show your solution graphically, making sure to label the Budget Constraint, Indifference Curve(s), Intercepts, and the chosen consumption bundle. [Note: your graph needs not be to scale.] Part (b) Suppose the price of Eggs doubles while the price of Bacon remains at $1/slice. Now how many Eggs and slices of Bacon do you choose to consume? Show the solution graphically. Part (c) Given your preferences stated above, if your income increased to $10/day would you be more likely to buy more Eggs? Why or why not. Part (d) When the price of Bacon is $1 each, below what level must the price of Eggs be to induce you to consume Eggs? Part (e) Relative to the initial situation in Part (a), suppose your income is cut in half, the price of Eggs decreases by 50%, and the price of Bacon Decreases by $0.50. How many Eggs and slices of Bacon will you choose to consume now