A consumer buys only two products. Let represent the quantity of one product and represent the quantity of the other product. The price of the products is: P = 19 and P = 17

a) Now the price of product increases by 100%, what is the deficit figure on the income band? (Use the increased price for the out example.

b) Draw the income band on a picture and enter the values on the axes where the income band connects to them when the income is 1000. Place on the x-axis.

c) The consumer has the following isoutility line (equivalence curve) where his utility is U = 866 : 866 = * There is an income that gives an ideal position on this equilibrium line (equivalence process). What is in the election position?

d) How much is the consumer's income in this ideal situation?