Mary spends all her budget on statistical software (S) and office supplies (O). Her preferences can be represented by the utility function: U(S, O) = 2 ln(S) + 3 ln(O). Find Mary’s demand functions...


Mary spends all her budget on statistical software (S) and office supplies
(O). Her preferences can be represented by the utility function: U(S, O) =
2 ln(S) + 3 ln(O).


Find Mary’s demand functions for software and office supplies, QS(pS, pO, I)
and QO(pS, pO, I), in terms of the price of software (pS), the price of
office supplies (pO), and Mary’s budget (I).



Jun 08, 2022
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