11. A consumer wants to maximise utility U=x + y, given a budget of $50 to...

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11. A consumer wants to maximise utility U=x² + y², given a budget of $50 to spend on two goods, x and y, with prices p、 = $2 and p = $3. Find the combination of x and y that maximises the consumer's utility while staying within the budget. 11. A consumer wants to maximise utility U=x² + y², given a budget of $50 to spend on two goods, x and y, with prices p、 = $2 and p = $3. Find the combination of x and y that maximises the consumer's utility while staying within the budget.

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To maximize utility given a budget constraint we can use the Lagrange Multiplier method The objectiv... View the full answer