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Let u(x,y) = x^2 + y^2.
(a) Use the bundles (5, 0) and (0, 4) to show that these preferences are not strictly convex.
(b) Will the consumer choose a bundle on the budget line?
(c) What bundles are optimal if the prices are equal to $1 each and the income is $10?
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1. suppose that an individual has a utility function uc h lnc hcrepresents consumption of a necessity good such as
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Write a 150 word paragraph for each item below: - Current state of consumer income - Current state of interest rates
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The American Medical Association is considering putting a permanent cap on the number of medical residents.
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