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Suppose the Consumer's Utility Function Is Given By U(x,y)=x1/4y3/4\mathrm { U } ( \mathrm { x } , \mathrm { y } ) = \mathrm { x } ^ { 1 / 4 } \mathrm { y } ^ { 3 / 4 }

Question 61

Multiple Choice

Suppose the consumer's utility function is given by U(x,y) =x1/4y3/4\mathrm { U } ( \mathrm { x } , \mathrm { y } ) = \mathrm { x } ^ { 1 / 4 } \mathrm { y } ^ { 3 / 4 } where MUx=y844x84MUy=3x244y14M U _ { x } = \frac { y ^ { \frac { 8 } { 4 } } } { 4 x ^ { \frac { 8 } { 4 } } } \quad M U _ { y } = \frac { 3 x ^ { \frac { 2 } { 4 } } } { 4 y ^ { \frac { 1 } { 4 } } }
The equation for this consumer's demand curve for xx is:


A) x=I2Pxx = \frac { I } { 2 P _ { x } }
B) x=I4Pxx = \frac { I } { 4 P _ { x } }
C) x=IPxx = \frac { I } { P _ { x } }
D) x=3I4Pxx = \frac { 3 I } { 4 P _ { x } }

Correct Answer:

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