Suppose you have the following indirect utility function:V(Pa, Py, I) = InPxPyWhat are marshallian demands for x and y?I(a) (9x9y) = (22)(b) (9,9y) = (In, In 2)(c) (9, 9y) = (exp(2p/py), exp(2ppy))I(d) (9x, gy) = (2pr+py' px+2py)What is the expenditure function for the associated expenditure minimization problem?(a) E(pa, Py, U) = (P + Py) ln(U)(b) E(pa, Py, U) = √exp(U)Papy(c) E(pa, Py, U)= (p²+p²) In(U)(d) E(pa, Py, U) = exp(U)²papyWhat are the individual's Hicksian demands for goods x and y?(a) (h₂, hy) = ((BU)¹/², (PU) ¹/²)(b) (ha, hy) = (RU, DU)(c) (ha, hy) = ((2 exp(U))¹/², (exp(U))¹/²)-1/2(d) (hx, hy) = ((P₂PzU)−¹/², (P₂PzU)-¹/2)Are x and y complements or substitutes?

Given Indirect utility function: V(px,py,I)=lnI2pxpy .....(1) According to…

Suppose you have the following indirect utility function: V(Pa, Py, I) = In What are marshallian demands for x and y? (a) (92,9y) = (22) (b) (9,9y) = (In, In 2) PxPy (c) (9x, gy) = (exp(2ppy), exp(2ppy)) (d) (9x9y) = (2p+py P=+2py) What is the expenditure function for the associated expenditure minimization problem? (a) E(pr. Py, U)= (Pr + Py) In(U) (b) E(pa, Py, U) = √exp(U)PzPy (c) E(pa, Py, U) = (p² +p²) In (U) (d) E(pa, Py, U)= exp(U)²pzPy What are the individual's Hicksian demands for goods x and y? (a) (hæ, hy) = ((U)¹/², (2-U)¹/²) (b) (ha, hy) = (BU, U) Py (c) (hr, hy) = ((exp(U))¹/², (exp(U))¹/²) (d) (h, hy) = ((P₂PU)-¹/2, (P₂P+U)-1/2)

Suppose you have the following indirect utility function: V(Pa, Py, I) = In What are marshallian demands for x and y? (a) (92,9y) = (22) (b) (9,9y) = (In, In 2) PxPy (c) (9x, gy) = (exp(2ppy), exp(2ppy)) (d) (9x9y) = (2p+py P=+2py) What is the expenditure function for the associated expenditure minimization problem? (a) E(pr. Py, U)= (Pr + Py) In(U) (b) E(pa, Py, U) = √exp(U)PzPy (c) E(pa, Py, U) = (p² +p²) In (U) (d) E(pa, Py, U)= exp(U)²pzPy What are the individual's Hicksian demands for goods x and y? (a) (hæ, hy) = ((U)¹/², (2-U)¹/²) (b) (ha, hy) = (BU, U) Py (c) (hr, hy) = ((exp(U))¹/², (exp(U))¹/²) (d) (h, hy) = ((P₂PU)-¹/2, (P₂P+U)-1/2)

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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