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A consumer has the following utility function: U(X1,X2)=X1*(X2^2) Find the consumer’s optimal basket if p2=2, p1=1,...

A consumer has the following utility function: U(X1,X2)=X1*(X2^2)

  1. Find the consumer’s optimal basket if p2=2, p1=1, I=30

  2. Find the demand function for X1 (for any prices and income)

  3. Check that the demand function in (b) is consistent with the solution in (a) – it gives the same exact solution when p2=2, p1=1, I=30

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