a. Josiah Bartlett collects 2 goods, carving knives (C) and antique books (B). His utility function...

a. Josiah Bartlett collects 2 goods, carving knives (C) and antique books (B). His utility function is U(C, B) = 2C + B (they are perfect substitutes). Find Josiah’s demand curve for carving knives if he has $100 to spend and the price of antique books is $10.

b. Josiah's assistant Charlie collects the same two goods but has a different utility function: U(C, B) = min{2C, B} (they are perfect complements). Find Charlie’s demand curve for carving knives if he has $100 to spend and the price of antique books is $10.

Expert Solution

Rahul Sunny answered 52 minutes ago

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