Elon eats only strawberries and bananas, both normal goods.
Elon eats only strawberries and bananas, both normal goods. He has an annual budget of $120 to buy any mix of strawberries and bananas he wants. He is currently maximizing utility by consuming 30 pounds of each. Strawberries cost $3/lb and bananas cost $1/lb. A. Draw Elon’s budget constraint for strawberries and bananas on a graph, with strawberries on the X axis. […]