For the utility function U = (Qx0.5+Q,0.5)2 and the budget 133 = 8Qx + 10Qy find the CHANGE in optimal consumption of Y if the price of X increases by a factor of 1.1. Please enter your response as a positive number with 1 decimal and 5/4 rounding (e.g. 1.15 1.2, 1.14 1.1).
For the utility function U = (Qx0.5+Q,0.5)2 and the budget 133 = 8Qx + 10Qy find the CHANGE in optimal consumption of Y if the price of X increases by a factor of 1.1. Please enter your response as a positive number with 1 decimal and 5/4 rounding (e.g. 1.15 1.2, 1.14 1.1).
Chapter4: Utility Maximization And Choice
Section: Chapter Questions
Problem 4.3P
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![QUESTION 1
For the utility function U = (Qx0.5+Qy0.5)² and the budget 133 = 8Qx + 10Qy find the CHANGE in optimal consumption of Y if the price of X increases by a factor of 1.1.
Please enter your response as a positive number with 1 decimal and 5/4 rounding (e.g. 1.15 1.2, 1.14 = 1.1).](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F2706cce8-4b35-4207-a6b9-92b7adbd5eca%2Fbb70b230-2d43-4113-b714-3957a168d87f%2Fgnldqeh_processed.jpeg&w=3840&q=75)
Transcribed Image Text:QUESTION 1
For the utility function U = (Qx0.5+Qy0.5)² and the budget 133 = 8Qx + 10Qy find the CHANGE in optimal consumption of Y if the price of X increases by a factor of 1.1.
Please enter your response as a positive number with 1 decimal and 5/4 rounding (e.g. 1.15 1.2, 1.14 = 1.1).
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