Answer to Question #171197 in Microeconomics for kkkkk

Question #171197

"A consumer has the utility function:u( x1, x2)=min(x1,x2)

and the endowment e=(2; 0).

Determine the consumer’s excess demand function!

Expert's answer

Total endowment"=" "2+0=2"

Excess supply"=x1-x2=x1"

Excess demand"=2(x1)=2x"

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