Question: answer question2 Problem 2 A consumer has set a budget of $400 for the consumption of good X and Y. The price of Good X

answer question2

Problem 2 A consumer has set a budget of $400 for the consumption of good X and Y. The price of Good X is $30, and the price of good Y is $10. The consumer has a Utility function given by U(X X) = x0.750.25 a) Find the optimal solution using a method that does not involves equations and illustrate the solution. Ans: b) Calculate an equation that represents the demand for good X. Solve for X and leave PX as a parameter or unknown

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