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utility function: U(f, w) = min {f, w/2} Let Y denote total income; let Pfdenote the...

utility function:

U(f, w) = min {f, w/2}

Let Y denote total income; let Pfdenote the price of food; and let Pw denote the price of water.

a.In what ratio does like to consume food and water?

b.Derive Marshallian demand functions for food and for water.

c.Do her demand functions satisfy the law of demand?

d.What is the cross-price elasticity of demand for water with respect to the price of food?

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