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There are two consumption goods, :3 and y. The preferences of the representative consumer are given by u(x, y) = x + . Each 3:
There are two consumption goods, :3 and y. The preferences of the representative consumer are given by u(x, y) = x + . Each 3: costs $10 and each y costs $1. The consumer has a total budget of $20. Find the utility-maximizing consumption bundle (m**, 3;\") subject to the consumer budget constraint. Note that consumption of each good is assumed to be non-negative. What is the value for :13\"? Om**=0 Om**=1 Om**=1.5 Ow**=2 What is the value for y\"? Oy**=0 Oy**=20 Oy=k$=25 O y** = 40
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