econ question

Question 1 40 pts QUESTION 1: 40 POINTS TOTAL Alison consumes only wine (2 ) measured in bottles and cheese ( y ) measured in ounces. Her preferences are given by U = x2/312/3, and her production capabilities are described by the following constraint: Q = (x9)2 + 4y" - 300. Based on that information, answer each of the following questions: A. Assuming no opportunities for trade, find Alison's (i) utility-maximizing consumption and production choices and (ii) her resulting utility. [15 points] B. Now, assuming Alison expects an opportunity for trade with Pr = Py = 10 find her (i) utility- maximizing production and consumption choices and (ii) her resulting utility. [20 points] C. Keeping the price of cheese fixed at py = 10 . what is the threshold price of wine (P.), above which Alison would be a net supplier of wine? [5 points] Upload Choose a File