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Suppose a consumer has 600 dirhams to spend on goods X and Y. the market prices for these goods are Px = 10 and Py = 40
a) Write the equation for the consumer budget line.
b) Illustrate the consumer's opportunity set
c) Show how the consumer's budget set changes when the Px increases to 20.
d) How does this change affect the MRS between the two goods?
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