Question: Assume Holy consumes two goods (X and Y). Given his utility function: U = min {3X,6Y}, find Holy's optimum amount of X and Y

Assume Holy consumes two goods (X and Y). Given his utility function:

Assume Holy consumes two goods (X and Y). Given his utility function: U = min {3X,6Y}, find Holy's optimum amount of X and Y as functions of the price of X (Px), price of Y (Py) and his Income (M).

Step by Step Solution

★★★★★

3.41 Rating (170 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

Solution Given his equation of budget line MPXX PYY i Al... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

Harvey Pennypacker received a check for $6,500 on December 31, 2018. Rather than depositing the check on the check on the same ay received, Harvey put the check in his desk and deposited it in the...

Assume that a utility function is given by Min(X, Y), as in Exercise 1(c). What is the Slutsky equation that decomposes the change in the demand for X in response to a change in its price? What is...

Given the following functions F(s), find f(t) F(s) = s + 4 / (s + 2)2 F(s) = s + 6 / s(s + 1)2

Economic Kofi consumes two goods (x) and (y). the following utility function represents his preferences: u(x,y) =0.4InX + 0.6InY Suppose the prices of the two goods (x and y) are px and py and his...

Assume that an individual consumes two goods, X and Y. The total utility (assumed measurable) of each good is independent of the rate of consumption of other good. The price of X and Y are...

Units of the Good 0 1 2345678 Total Utility Total Utility of X of Y 0 960 1740 2340 2850 3270 3630 3900 4110 0 1180 2060 2700 3220 3620 3940 4180 4360 For the next 3 questions, assume that an...

microeconomics The Government Sponsored Enterprises (GSEs) play a key role in the U.S. mortgage finance system. The public mission of the GSEs is to support homeownership. In practice, this is partly...

Suppose there are two consumers, A and B, and two goods, X and Y. Consumer A's utility function is given by: UA(X,Y) = 3X + 2Y, And consumer B's utility function is given by UB(X,Y) = 3X + Y. The...

explain all 1. (55 points) Egbert consumes only axes (X) and mead (Y ). His utility function is U = XY , his income is I and the prices of axes and mead are pXand pY respectively. (a) What is...

answ There are 10 potential entrants into the market for tomatoes. All tomato growers are identical. They face a fixed cost of 500 if they choose to enter the market and then have a marginal cost of...

Logan Products has two production departments-assembly and finishing. These are supported by two service departments-sourcing (purchasing and handling of materials and human resources) and operations...

The company president is Vincent Miller, who inherited the company. When the company was founded over 30 years ago, it originally focuses on producing high-end batteries, for automobile...

show work Scenario A: Jane purchased a new car for $15,000. She financed it with a 60 month fixed installment loan with an APR of 5.0% Determine the finance charge and the monthly payment. Scenario...

Acme Pty Ltd is a company involved in residential property development in southern Sydney. Acme purchases older style properties and then demolishes the houses and converts the properties into...

evaluate Davis and Inajimas (2021) article and critically discuss the contributions of current research within the fields of management accounting

While driving his vehicle, Herb approaches a red stoplight but his brakes do not respond when he presses on the brake pedal. As a result, the front of Herb's car hits the rear of Clara's car. Clara's...

17 0.27 ponts White Company has two departments, Cutting and Finishing. The company uses a job-order costing system and computes a predetermined overhead rate in each department. The Cutting...

Consider the setup in Problem 16. Show that the relative speed of the ball and the point of contact on the stick is the same before and immediately after the collision. (This result is analogous to...

Contract paralegals are hired most frequently by law firms that do not have in-house paralegal staffs or by firms that have multiple offices in different states O a specialized practice a...

Let R3 have the Euclidean inner product. Find an orthonormal basis for the subspace spanned by (0, 1, 2), (-1, 0, 1), (-1, 1, 3).

Find the coordinate vector of w relative to the basis S = (u1, u2) for R2 (a) u1 = (1, 0), u2 = (0, 1); w = (3, - 7) (b) u1 = (2, - 4) , u2 = (3, 8 ); w = (1 , 1)

Prove: If B is invertible, then AB-1 = B-1 A if and only if AB - BA.

=+indoor air pollution metrics and lung function growth among children ages 613 years living in four Chinese cities. For each subject in the study, the authors measured an important lung-capacity...

=+a. Calculate and interpret a 95% (two-sided) confidence interval for true average FEV1 level in the population of all children from which the sample was selected.

=+14. The article Extravisual Damage Detection? Defining the Standard Normal Tree (Photogrammetric Engr. and Remote Sensing, 1981: 515522) discusses the use of color infrared photography in...