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In Problem 2, Ambrose Has the Utility Function U(x1, X2)

Question 19

Multiple Choice

In Problem 2, Ambrose has the utility function U(x1, x2) = In Problem 2, Ambrose has the utility function U(x<sub>1</sub>, x<sub>2</sub>) = . If Ambrose were initially consuming 4 units of nuts (good 1) and 27 units of berries (good 2) , then what is the largest number of berries that he would be willing to give up in return for an additional 21 units of nuts? A) 5 B) 12 C) 6 D) 32 E) 3 . If Ambrose were initially consuming 4 units of nuts (good 1) and 27 units of berries (good 2) , then what is the largest number of berries that he would be willing to give up in return for an additional 21 units of nuts?


A) 5
B) 12
C) 6
D) 32
E) 3

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