Question: 23. Chidi really enjoys fresh flowers. His utility function with respect to roses (x) and tulips (y) is given by u(x,y) = xy. The price

 23. Chidi really enjoys fresh flowers. His utility function with respect

23. Chidi really enjoys fresh flowers. His utility function with respect to roses (x) and tulips (y) is given by u(x,y) = xy". The price of roses is p, the price of tulips is p, and his budget is m. Suppose roses cost three times as much as tulips. (a) Write his budget constraint as a function of x, y, p, and m. (b) Use the equal marginal principle shortcut (MU/P is balanced between x and y) to derive his optimal ratio of roses and tulips, y = f(x). What is this ratio? (c) Substitute this into your budget constraint from (a) and derive Chidi's demand for roses x(p,,m). (d) If his budget is $180 and tulips cost $5, how many roses and tulips does he buy

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