Chapter5: Income And Substitution Effects
Section: Chapter Questions
Problem 5.1P
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! please solve these problems
Transcribed Image Text:PT.
sider the utility function
U(r, y) = x3 + 2y.
Derive the two Marshallian demand functions for goods x and y.
Are the above demand functions homogeneous? Yes/no, justify your ansv
Derive the two Hicksian demand functions for goods a and y.
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