Formula for derive the demand functions

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1. Chipo has the following utility function of 2 goods Pies (X) and fanta (Y): 
U= log X + log Y. 
(a) show that the consumer maximizes utility subject to the budget constraint. 
(b) derive the demand functions of good X and good Y. 



2. You are given the individual demand curves for food for 2 households. These are household A and household B. The demand for household A for food is given by equation: 
Qa= 1430 - 55p 
The demand for food for household B is given by the equation: 
Qb= 1470 - 70p 
Where Qa= demand for food in kg by household A 
Qb= demand for food in kg by household B 

Calculate the market demand for food

Reference no: EM13196607

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