Show the income consumption curve for this consumer

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Reference no: EM1363398

Suppose a consumer has preferences given by the utility function U(X,Y) = MIN[4X, Y]. Suppose PX = 2 and PY = 1. Draw the Income Consumption Curve for this consumer for income values M = 12, M = 24, and M = 36. Your graph should accurately draw the budget constraints for each income level and specifically label the bundles that the consumer chooses for each income level. Also, for each bundle that the consumer chooses, draw the indifference curve that goes through that bundle. Make sure to label your graph carefully and accurately.

Reference no: EM1363398

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