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If Utility Is Separable in a Three-Good Utility Function X3

Question 4

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If utility is separable in a three-good utility function x3

If utility is separable in a three-good utility function x<sub>3 </sub> <sub> </sub>    Then for changes in   Must: A) both be gross substitutes for x<sub>1</sub>. B) both be gross complements for x<sub>1</sub>. C) be such that if one is a gross substitute for x<sub>1</sub>,the other is a gross complement for x<sub>1</sub>. D) both be gross substitutes or both be gross complements for x<sub>1</sub>.
Then for changes in If utility is separable in a three-good utility function x<sub>3 </sub> <sub> </sub>    Then for changes in   Must: A) both be gross substitutes for x<sub>1</sub>. B) both be gross complements for x<sub>1</sub>. C) be such that if one is a gross substitute for x<sub>1</sub>,the other is a gross complement for x<sub>1</sub>. D) both be gross substitutes or both be gross complements for x<sub>1</sub>.
Must:


A) both be gross substitutes for x1.
B) both be gross complements for x1.
C) be such that if one is a gross substitute for x1,the other is a gross complement for x1.
D) both be gross substitutes or both be gross complements for x1.

Correct Answer:

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