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The following table sets out a consumer's total utility when consuming Good 1 and then shows the consumer's total utility when consuming Good 2. The
The following table sets out a consumer's total utility when consuming Good 1 and then shows the consumer's total utility when consuming Good 2. The prices of Good 1 and Good 2 are given. The consumer has a budget of $20 dollars. How much of each good should this consumer buy to maximize her total utility given her budget constraint? What will her total utility be, given her budget constraint? Good 1 P1 = $2 Good 2 P2 = $4 Quantity Total Utility Quantity Total Utility 1 20 1 36 2 30 2 52 3 38 3 64 4 44 4 72 5 48 5 76
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