Order the answer to: Dave consumes only two goods, coffee and doughnuts. When the

Paper help business-economics Order the answer to: Dave consumes only two goods, coffee and doughnuts. When the

business-economics

Order the answer to: Dave consumes only two goods, coffee and doughnuts. When the

Question Dave consumes only two goods, coffee and doughnuts. When the price of coffee falls, he buys the same amount of coffee and more doughnuts.
a) On an optimal choice diagram (with budget lines and indifference curves), illustrate this pattern of consumption.
b) Is this purchasing behavior consistent with a quasi-linear utility function? Explain.
Subject business-economics
Ready to try a high quality writing service? Get a discount here