Question: MUA - : PA = zA = 5 0 2 x MUB - : PB = zB = 6 0 5 y , where z
MUA : PA zA x
MUB : PB zB y
where z is marginal utility per dollar measured in utils, x is the amount spent on product A and y is the amount spent on product B Assume that the consumer has $ to spend on A and Bthat is x y
Instructions: Enter your answers as a whole number.
How is the $ best allocated between A and B
$ on A and $ on B
How much utility will the marginal dollar yield?
utils
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