Consider a consumer whose preferences can be represented by the following utility function: U(x,y)= 0.3log(y)0.5log(x). Let her income be I > 0 and the prices of goods x and y be Px > and Py > 0. Determine the proportion of income spent on good x. [Note: You may use the result that ∂[log(z)]/∂z = 1/z.]
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