Jim's preferences over cookies (x) and other goods (y) are given by U(x, y) = xy with

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Jim's preferences over cookies (x) and other goods (y) are given by U(x, y) = xy with associated marginal utility functions MUx = y. and MUy = x. His income is $20.
a) Find Jim's demand schedule for x when price of y is Py = $1.
b) Illustrate graphically the change in consumer surplus when the price of x increases from $1 to $2.
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Microeconomics

ISBN: 978-0073375854

2nd edition

Authors: Douglas Bernheim, Michael Whinston

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