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George has preferences of goods 1 (denoted by x) and 2 (denoted by y) represented by...

George has preferences of goods 1 (denoted by x) and 2 (denoted by y) represented by the utility function u(x,y)= (x^2)+y:

a. Write an expression for marginal utility for good 1. Does he like good 1 and why?

b. Write an expression for George’s marginal rate of substitution at any point. Do his preferences exhibit a diminishing marginal rate of substitution?

c. Suppose George was at the point (10,10) and Pete offered to give him 2 units of good 2 in exchange for 2 units of good 1. Would George be willing to accept this trade and why?

d. Sketch George's indifference curves through the points (1, 0), (2, 0), (3, 0) and (4, 0). Does he have convex preferences?

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