Question: i need a detailed solution A consumer's demand for two goods are chosen to maximize the consumer's utility function U(x, y) = x0604 The first

 i need a detailed solution A consumer's demand for two goods

i need a detailed solution

are chosen to maximize the consumer's utility function U(x, y) = x0604

A consumer's demand for two goods are chosen to maximize the consumer's utility function U(x, y) = x0604 The first good (x) costs 3 6 per unit and the other good (y) costs 2 6 per unit. The consumer can spend 630 6 to buy the products. a) Illustrate graphically the quantities that the consumer can buy. Assume that the consumer spends all available money. b) How should the consumer allocate the purchases to maximize utility? (Take for granted that a maximum exists.) c) How many "utility points" will the consumer reach at the maximum? d) Assume that the consumer gets one more 6 for shopping. What change (approximately) will there be in the maximum number of utility points that the consumer reaches due to the increased budget? (New quantities to buy must not be calculated.)

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