Question

Tim has preferences represented by the utility function: U(x; y)=min{6x + y; x
+2y}.If x is on the horizontal axis and y is on the vertical axis, what is the slope of his
indifference curve at the point (8; 9)?

Answer 1

The the slope of his indifference curve at the point (8; 9) is -05.

How to calculate the slope?

It should be noted that the slope of an indifference curve is the change in Y over the change in X.

The utility will be:

U = min(6 × 8, 8 + 2 × 9)

U = min(57, 26).

The change in utility will be:

= ∆y/∆x = (9 - 9.5)/(8 - 7)

= -0.5/1

= -0.5

Learn more about indifference curve on:

brainly.com/question/14747719

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