Re: DSE 2017 Answer Key

Posted by Ydman on Jun 14, 2019; 7:54am
URL: http://discussion-forum.276.s1.nabble.com/DSE-2017-Answer-Key-tp7607075p7616033.html

Sir , DSE 2017 Q13
Consider a consumer with utility function u(x; y; z) =
y minfx; zg. The prices of all three goods are the same.
The consumer has Rs.100 to spend on these three goods.
The demands will be such that
(a) y < x = z
(b) y > x = z
(c) x = y = z
(d) none of the above

im getting (c) even after discussion with others . As to maximise the product will be maximised if the nos are close to each other eg 5X5 instead of 5X4 .