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8) Suppose a consumer’s utility function is defined by u(x,y)=3x+y for every x≥0 and y≥0 and...

8) Suppose a consumer’s utility function is defined by u(x,y)=3x+y for every x≥0 and y≥0 and

the consumer’s initial endowment of wealth is w=100. Graphically depict the income and

substitution effects for this consumer if initially Px=1 =Py and then the price of commodity x

decreases to Px=1/2.

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