Show that not all goods can be inferior

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Hugo views donuts and coffee as perfect complements: He always eats one donut with a cup of coffee and will not eat a donut without coffee or drink coffee without a donut. Derive and plot Hugo's Engel curve for donuts. How much does his weekly budget have to rise for Hugo to buy one more donut per week?

Using calculus, show that not all goods can be inferior.

Reference no: EM131345845

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