Question: Please help! 6. (16 points) Mr. Claus gains utility from the consumption of milk and cookies. He is very peculiar about his eating habits, however,

Please help!

Please help! 6. (16 points) Mr. Claus gains utility from the consumption

6. (16 points) Mr. Claus gains utility from the consumption of milk and cookies. He is very peculiar about his eating habits, however, always requiring 2 cookies (C) for each glass of milk (M). Thus his utility function can be written: ( = min M . Unfortunately, since the 2 formation of the elf union Santa's food budget is rather limited. He has only I dollars to spend on cookies which cost Pc each and milk which costs Pm per glass. A. (4 points) Given Prices and his constraint find Mr. Claus' optimal consumption of milk and cookies. Depict his choice on an indifference curve graph

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