Quantcast

A community for students. Sign up today!

Here's the question you clicked on:

55 members online
  • 0 replying
  • 0 viewing

Creych

  • one year ago

U(x,y)=xy^2 MUx=y^2, MUy=2xy Price per unit of good A=2 and for B=4. Income is 1200. How to calculate optimal quantity of good A and good B for this consumer?

  • This Question is Open
  1. surjeet
    • one year ago
    Best Response
    You've already chosen the best response.
    Medals 0

    MU of x / MU of y = Y/ 2x this should be equal to price ratio P of x / P of y = 1 / 2

  2. Not the answer you are looking for?
    Search for more explanations.

    • Attachments:

Ask your own question

Ask a Question
Find more explanations on OpenStudy

Your question is ready. Sign up for free to start getting answers.

spraguer (Moderator)
5 → View Detailed Profile

is replying to Can someone tell me what button the professor is hitting...

23

  • Teamwork 19 Teammate
  • Problem Solving 19 Hero
  • You have blocked this person.
  • ✔ You're a fan Checking fan status...

Thanks for being so helpful in mathematics. If you are getting quality help, make sure you spread the word about OpenStudy.

This is the testimonial you wrote.
You haven't written a testimonial for Owlfred.