Sppose that income is m 102 and prices are a 2 and b , Ask an Expert

Economics

Suppose that income is m = 102, and prices are a = 2 and b = 5.

Consider the following utility function: u(a,b) = (a + 2)(b +1)

(i) Find the utility-maximizing quantities of a and b.

(ii) What is the maximum utility level that this consumer can achieve?

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Business Economics, Economics

Category:- Business Economics
Reference No.:- M91718804

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