Find the marginal rate of substitution

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Reference no: EM13978573

A consumer has the following utility function U(x,y) = ln(x) + y

given prices px = 1, py = 10 and income m = 30

(a) find the marginal rate of substitution,

(b) find the interior solution to the consumer's. Utility maximization problem,

(c) find the corner solution to the consumer's utility maximization problem,

(d) find the optimal consumption bundle of x and y.

(e) if the price of good y is py = 2, how does your answer to part d change?

Reference no: EM13978573

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