Question: Solve it as soon as possible Chapter 4 Questions 9. (a) What kind of preferences do you have if your utility function is 11(11, 222)

Solve it as soon as possible

Solve it as soon as possible Chapter 4 Questions 9. (a) What

Chapter 4 Questions 9. (a) What kind of preferences do you have if your utility function is 11(11, 222) = 1311 + 133;? (b) If you are maximizing utility and the price of 2:1 is less than the price of 272, what fraction of your income do you spend on each good? Explain your answer. (c) Now say that your utility function is instead ln (131:1 + 13232}. If you are maximizing utility and the price of 2:1 is less than the price of 2:2, what fraction of your income do you spend on each good? Explain your answer. 10. Charlie's utility function for apples [1: A) and bananas (1:3) is \"(3143333) = TAIB (a) Derive an expression for the indifference curve through the consumption bundle with 40 apples and 5 bananas. (b) Donna oers to give Charlie 15 bananas if he will give her 25 apples. Would Charlie have a bundle that he prefers to [40, 5} if he makes this trade? (c) 1What is the largest number of apples that Donna could demand from Charlie in return for 15 bananas if she expects him to be willing to trade or at least be indierent about trading? Activate Wit I301c-Seii'ngs

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