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Suppose the Consumer's Utility Function Is Given by U(x,y) = xx

Question 16

Multiple Choice

Suppose the consumer's utility function is given by U(x,y) = xy + y where MUx = y MUy = x+1 The equation for this consumer's demand curve for xx when I > Px is


A) xd = 0
B) xd = I2Px\frac { I } { 2 P _ { x } }
C) xd = I2Px\frac { I } { 2 P _ { x } } - 12\frac { 1 } { 2 }
D) xd = 1/2

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