### Consumes only two goods-chocolates and porcelaine lupines

##### Reference no: EM131001839

Brian consumes only two goods, Chocolates and porcelaine lupines. Let X be the number of chocolates Brian consumes and Y be the number of porcelain lupines. Brian's utility function is given by U=20X^2 Y. Suppose initially that the price of chocolates is \$1 as is the price of porcelain lupines. Brian's income is \$840. Now suppose the price of chocolates rises to \$3. Calculate CV and EV associated with the price change

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