Question: s ) 2 . A person consumes two goods x and y . Let px and py be the prices of these two goods and
s A person consumes two goods x and y Let px and py be the prices of these two goods and assume that py The persons indirect utility function is where a and b are positive constants.
a Derive the Marshallian demand function for x using Roys identity. points
b Find the direct utility function. points
c Derive the Marshallian demand by maximizing the direct utility function. Is the result consistent with what you found in a points
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