In Problem 6, Elmer's utility function is U(x, y) = min{x, y}. If the price of x is $15, the price of y is $30, and Elmer chooses to consume 2 units of y, what must Elmer's income be? a. $240 b. $90 c. $220 d. $120 e. There is not enough information to tell. %3D

Microeconomics A Contemporary Intro
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Chapter6: Consumer Choice And Demand
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21. In Problem 6, Elmer's utility function is U(x, y) = min{ x, y). If the price of x is $15, the price of y is
$30, and Elmer chooses to consume 2 units of y, what must Elmer's income be?
a. $240
b. $90
c. $220
d. $120
e. There is not enough information to tell.
Transcribed Image Text:21. In Problem 6, Elmer's utility function is U(x, y) = min{ x, y). If the price of x is $15, the price of y is $30, and Elmer chooses to consume 2 units of y, what must Elmer's income be? a. $240 b. $90 c. $220 d. $120 e. There is not enough information to tell.
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