2. Find the optimal bundle for a consumer whose preference is represented by U(r,s) = min(2r,...

Question

Question

2. Find the optimal bundle for a consumer whose preference is represented by U(r,s) = min(2r, 3s) and when Pr = 20, Ps = 10 a

business economics

Answer 1

Answer #1

U= min (2, 3) kr = 20 Pe=10 M = 1200 sit. 200 + los = 1200 A consumer with this type of utility function only achieves a ligh

Answer 2

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