[問題] 村長,我有一些話要跟您說...
2
Dean’s utility on (X) and (Y ) can be expressed as u(x, y) = x y.
(a) How much milk does Dean consume when the price of milk is px = 10, the
price of juice is py = 8, and he plans to spend $120 on these two goods?
(b) Now suppose the police does not allow people to carry X on the road. As a
result, whenever you buy X, half of them would be discovered by the police
and destroyed, and you can only consume the other half. For example, if
you buy two units of X, you can consume only one unit. What are the
substitution and income effects on the consumption of X when you no
longer have the freedom to carry X on the road? (Assume the prices are the
same as in part (b), and Dean still spends $120 on these two good.) Please
use Hicks’ definition to decompose the effects.
a我大概會寫
不過b的話....
我是有大概猜出一個解法
不過數字出來怪怪的....
所以....
拜託了XD
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,我可以跟妳在一起嗎?
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