The consumer has an incom Mand a utility function of the form u (x1; x2) = aInx1 + (1 - a)Inx2 If the prices of the two goods are given by p1 and p2, derive the Hicksian demand functions for a given utility level U: Derive the expenditure function. Using the concept of duality, derive the indirect utility function.

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Q: meaning. 04.46 ← 2. Thus, given any one utility function, any monotonic transformation of it will…

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Q: Xn) = 0 implicitly defines a utility func- 4. Assuming that the equation F(U, X1, X2, .- tian U =…

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