Solved

Suppose That There Are Two Goods, X and Y

Question 56

Multiple Choice

Suppose that there are two goods, X and Y. The utility function is U = X0.5Y. The price of X is P, and the price of Y is $4. Income is $120. The demand for X as a function of P is x =____.


A) 40/P
B) 20/P
C) 2/P
D) 0.5P

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q51: Suppose there are 100 consumers in the

Q52: (Figure: Market for DS Video Games I)

Q53: (Figure: Quantity of Goods Y and X

Q54: Suppose that Bella's utility function from bananas

Q55: Suppose that a consumer has utility U(X,Y)

Q57: (Figure: Good Y and Good X X)

Q58: Suppose that there are two goods, X

Q59: (Figure: Quantity of Goods Y and X

Q60: Ana, Marcia, and Juliana are the only

Q61: (Figure: Quantity of Goods Y and X