5. For this problem, direct calculations are not necessary; you are in- tended to use the...

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5. For this problem, direct calculations are not necessary; you are in- tended to use the graoh. 20 points total. Consider a consumer with the following preferences: AGAN NO 60 55 50 45 40 35 30 75 70 65 80 6. 112505 0 0 5 10 15 20 25 30 35 40 45 50 55 60 65 70 75 80 x Suppose the prices this consume faces px = 2, Py = 1, and have in- come M = 70. 5. For this problem, direct calculations are not necessary; you are in- tended to use the graph. 20 points total. Consider a consumer with the following preferences: 80 50 75 70m 65 56 h 60 55 50 45 40 35 30 25 20 15 100 20 5 0 A all is fine ~pp 0 5 10 15 20 25 30 35 40 45 50 55 60 65 70 75 80 x Suppose the prices this consume faces pa come M = 70. = 2, Py = 1, and have in- (a) Graph this budget line and find this consumer's marshallian de- mand for x and y. 5 points. (b) Suppose the price of good y increases to py = 7. Graphic this new budget line and find this consumer's new marshallian de- mand for x and y. 5 points. 5. For this problem, direct calculations are not necessary; you are in- tended to use the graoh. 20 points total. Consider a consumer with the following preferences: AGAN NO 60 55 50 45 40 35 30 75 70 65 80 6. 112505 0 0 5 10 15 20 25 30 35 40 45 50 55 60 65 70 75 80 x Suppose the prices this consume faces px = 2, Py = 1, and have in- come M = 70. 5. For this problem, direct calculations are not necessary; you are in- tended to use the graph. 20 points total. Consider a consumer with the following preferences: 80 50 75 70m 65 56 h 60 55 50 45 40 35 30 25 20 15 100 20 5 0 A all is fine ~pp 0 5 10 15 20 25 30 35 40 45 50 55 60 65 70 75 80 x Suppose the prices this consume faces pa come M = 70. = 2, Py = 1, and have in- (a) Graph this budget line and find this consumer's marshallian de- mand for x and y. 5 points. (b) Suppose the price of good y increases to py = 7. Graphic this new budget line and find this consumer's new marshallian de- mand for x and y. 5 points.