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Suppose that a consumer's utility function is u(x, y) = kx+y, where k is a positive integer. Suppose that the equation of the budget
Suppose that a consumer's utility function is u(x, y) = kx+y, where k is a positive integer. Suppose that the equation of the budget line is y = -3x+9. Suppose that the consumer has more than one optimal bundle. (Note that an optimal bundle is one that, among all the affordable bundles, maximizes utility). Then, k is
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Microeconomics
Authors: Douglas Bernheim, Michael Whinston
2nd edition
73375853, 978-0073375854
