Question: 5. Consider a consumer, John, who allocates a certain fraction of his income towards going to sporting events. John spends all his money to sporting

5. Consider a consumer, John, who allocates a certain fraction of his income towards going to sporting events. John spends all his money to sporting event on either football games or baseball games. His budget constraint is therefore:

Y^s = pF F + pBB

Note here that s denotes sporting event in general, and F denotes football game, B denotes baseball games. In this example:

U(B, F) = 2(F B)^6

Y^t = 2000

pF = 80

pB = 20

(a) Calculate the MRS and interpret

(b) Calculate the demand function for B and F

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