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George Has $49 Which He Decides to Spend on X

Question 13

Multiple Choice

George has $49 which he decides to spend on x and y.Commodity x costs $5 per unit and commodity y costs $11 per unit.He has the utility function U(x, y) =3x2 + 6y2 and he can purchase fractional units of x and y.George will choose


A) only y.
B) some of each commodity but more x than y.
C) only x.
D) some of each commodity but more y than x.
E) equal amounts of the two commodities.

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