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06-06-2023
Business

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Question 20
Assume in the market with two consumers, Chloe and Oliver. Chloe's
utility function is U(x, y) = 2x + 120y1/2, Oliver's utility function is U(x, y) =
2x + 10y. At a Pareto optimal allocation in which both individuals
consume some of each good, how much y does Chloe consume?
A.60
B.5
C. 225
D. 36

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