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suppose Hodor and Bran are the only two consumers in society. Each has a utility function of the form U=X 1/2 Y 1/2 .
suppose Hodor and Bran are the only two consumers in society. Each has a utility function of the form U=X1/2 Y1/2.Good X is a private good and good Y is a public good, the price of good X is Px and the price of Y is Py, and each have an identical income of 100. How much of the public good will be purchased? How much should be purchased?