Calculate the market rate of substitution

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The utility function is U=X^2Y. the consumer has a budget of $63 to spend. The price of X and Y are both 7 dollars. Calculate the amount of good X that would be in the consumers utility maximizing budget. (Answer should be 6, please show work to get that)

Suppose that a consumer had a utility function given by U=X^2*Y^2. the consumer has 120 to spend on good X and good Y. The price of x is 4 and the price of y is 10. Calculate the market rate of substitution. (Answer should be -1.5)

Reference no: EM132438138

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