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Consider a Consumer with the Cobb-Douglas Utility Function U(q1,q2)=

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Consider a consumer with the Cobb-Douglas utility function U(q1,q2)= Consider a consumer with the Cobb-Douglas utility function U(q<sub>1</sub>,q<sub>2</sub>)= ,where q<sub>1</sub> and q<sub>2</sub> are the quantities of goods 1 and 2 consumed,respectively.This consumer derives a level of utility denoted by U<sub>0</sub>.The prices of goods 1 and 2 are denoted p<sub>1</sub> and p<sub>2</sub>. a.Write out the Lagrangian for the consumer's expenditure minimization problem. b.Using the Lagrangian method,derive the consumer's (expenditure-minimizing)quantity of good 1 as functions of the variables p<sub>1</sub>,p<sub>2</sub>,and U<sub>0</sub>. c.Derive the consumer's expenditure function,E(p<sub>1</sub>,p<sub>2</sub>,U<sub>0</sub>).
,where q1 and q2 are the quantities of goods 1 and 2 consumed,respectively.This consumer derives a level of utility denoted by U0.The prices of goods 1 and 2 are denoted p1 and p2.
a.Write out the Lagrangian for the consumer's expenditure minimization problem.
b.Using the Lagrangian method,derive the consumer's (expenditure-minimizing)quantity of good 1 as functions of the variables p1,p2,and U0.
c.Derive the consumer's expenditure function,E(p1,p2,U0).

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a.The Lagrangian is:
L = p1q1 + p2q2 + λ[U0 -...

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