Determine the amount of composite commodities, Microeconomics

Assignment Help:

a) Joan's utility function can roughly be estimated as :

U = 60Q₁^3/4Q₂^2/3

She chooses from two composite commodities Q₁ and Q₂ whose prices per unit are kshs 20 and Kshs 15 respectively. He has Kshs 6000 to spend on the two commodities. Determine the amount of each commodity that he should buy so as to maximize her utility.

b) Joan would like to minimise her expenditure subject to her enjoying 480 utils of utility. Determine the amount of Q₁ and Q₂ she should buy so as to achieve her objective.

Related Discussions:- Determine the amount of composite commodities

Lori teaches singing. her fixed costs are $1, Price | Quantity demanded ___...

Price | Quantity demanded _________________________ 0 250 50 200 100 150 150 100 200 50 250 0 A) Calculate Lorie''s profit-maximizing output, price, and economic profit. B) Do yo

Mundell-Fleming Models, Assignment Help

Assignment Help

Cost, define cost its types with curves

define cost its types with curves

Benefits of education, Normal 0 false false false EN-IN...

Normal 0 false false false EN-IN X-NONE X-NONE MicrosoftInternetExplorer4

What is corporation, Q. What is Corporation? A corporation is a form of...

Q. What is Corporation? A corporation is a form of business established as an independent legal entity, separate from individuals who own it. A main benefit, for owners, of thi

Use of resources - international monetary fund, Use of Resources - INTERNAT...

Use of Resources - INTERNATIONAL MONETARY FUND: IMF provides temporary assistance to member-countries to tide over balance of payments deficits. When the country requires fore

Indefference curve, Give a critique of indifference curve

Give a critique of indifference curve

Equilibrium, what is pooling equilibrium

what is pooling equilibrium

Balance of payments and problem of deficits, BALANCE OF PAYMENTS AND PROBLE...

BALANCE OF PAYMENTS AND PROBLEM OF DEFICITS: The principal tool for the analysis of the monetary aspects of international trade is the balance of international payments set

Market failure, Ask question using health care as an example explain how ma...

Ask question using health care as an example explain how markets fail due to different types of externalities arising from jointness in production and consumption

Write Your Message!

Name

Email id

Message

Verfication Code

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

User Account

All Pages