John consumes two goods, X and Y. The marginal utility of X and the marginal utility of Y satisfy the following equations:
MU_X = Y MU_Y = X.
The price of X is $9, and the price of Y is $12.
a. Write an expression for John's MRS.
b. What is the optimal mix between X and Y in John's market basket?
c. John is currently consuming 15 X and 10 Y per time period.
Is he consuming an optimal mix of X and Y?

Question

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The Answer of John consumes two goods, X and Y. The marginal utility of X and the marginal utility of Y satisfy the following equations: MU_X = Y MU_Y = X. The price of X is $9, and the price of Y is $12. a. Write an expression for John's MRS. b. What is the optimal mix between X and Y in John's market basket? c. John is currently consuming 15 X and 10 Y per time period. Is he consuming an optimal mix of X and Y?

John Consumes Two Goods, X and Y