Taylor always takes her dirty laundry to the same Laundromat to use the washer and dryers. Not only do they have a large number of washer and dryers, but they also have free Wi-Fi. Taylor does her school work while she waits for her laundry to dry. It is likely that Taylor chooses to use this Laundromat because of their services. • core • tangible • augmented • operational

David consumes two things: gasoline (g) and bread (b). david's utility function is u(g, b) = 10g^0.25 b^0.75. use the lagrange technique to solve for david's optimal choices of gasoline and bread as a function of the price of gasoline, p_g, the price of bread, p_b, and his income m. with recent decrease in the price of gasoline (maybe due to external shock such as shale gas production) does david increase his consumption of gasoline? for david, how does partial differential g/partial differential p_g depend on his income m? that is, how does david's change in gasoline consumption due to an increase in the price of gasoline depend on his income level? to answer these questions, find the cross-partial derivative, |partial differential^2 g/partial differential m partial differential p_g.