Suppose that there are two goods, X and Y. The utility function is U = XY +

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Suppose that there are two goods, X and Y. The utility function is U = XY + X. The price of X is P, and the price of Y is $40. Income is $200. Derive the demand for X as a function of P.

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Microeconomics

ISBN: 9781464146978

1st Edition

Authors: Austan Goolsbee, Steven Levitt, Chad Syverson

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Question Posted: Jan 13, 2016 02:35 AM

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Suppose that there are two goods, X and Y. The utility function is U = XY +

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Write out the constrained optimization problem and the Lagrangian The Lagrangian i...View the full answer

Microeconomics

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