Clara's utility function u(x,y)=(x+2)(y+1). write n equation for clara's indifference curve that goes through the point (x,y)=(2,8)

Question

asked May 17, 2019 69.9k views

1 Answer

Santhosh Tangudu · Answer 1 · 2019-05-21T11:18:03+0000

we are given equation as

u(x,y)=(x+2)(y+1)

clara's indifference curve that goes through the point (x,y)=(2,8)

we can plug x=2 , y=8

u(x,y)=(2+2)(8+1)

u(2,8)=36

now, we can set it equal

we get

36=(x+2)(y+1)

now, we can solve for y

$(\left(x+2\right)\left(y+1\right))/(x+2)=(36)/(x+2)$

y+1=(36)/(x+2)

y=(36)/(x+2)-1 ..........Answer