Derive the marshalian demand functions, Mathematics

Assignment Help:

(a) Derive the Marshalian demand functions for the following utility function:

u(x1,x2,x3) = x1 + δ ln(x2)       x1 ≥ 0, x2 ≥ 0

Does one need to consider the issue of "corner solutions" here?

(b) Derive the Hicksian demand functions and the expenditure function for the following utility function:

u(x1,x2,x3)  =min {√x1, 2√x2,  4√x3}      x1 ≥ 0, x2 ≥ 0, x3 ≥ 0

Using the expenditure function and the Hicksian demand functions that you obtained, derive the indirect utility function and the Marshalian demand function for good 1.

 


Related Discussions:- Derive the marshalian demand functions

Limit comparison test - sequences and series, Limit Comparison Test Ass...

Limit Comparison Test Assume that we have two series ∑a n and ∑b n with a n , b n   ≥ 0 for all n. Determine, If c is positive (i.e. c > 0 ) and is finite (i.e. c

Solid mensuration, The two sides of a triangle are 17 cm and 28 cm long, an...

The two sides of a triangle are 17 cm and 28 cm long, and the length of the median drawn to the third side is equal to 19.5 cm. Find the distance from an endpoint of this median to

Algebra, find the value of A and B if the following polynomials are perfect...

find the value of A and B if the following polynomials are perfect square:

Maximin method -decision making under uncertainty, Decision making under un...

Decision making under uncertainty Various methods are used to make decision in circumstances whereas only the pay offs are identified and the likelihood of every state of natur

Evalute right-hand limit, Evaluate following limits. Solution ...

Evaluate following limits. Solution Let's begin with the right-hand limit.  For this limit we have, x > 4  ⇒          4 - x 3   = 0      also, 4 - x → 0  as x → 4

State demorgans law and prove it using the truth table, State DeMorgan's la...

State DeMorgan's law. Prove it using the truth table.   Ans: DeMorgan's law defines that    (i)  (x ∨ y)' = x' ∧ y' (ii)  (x ∧ y)' = x' ∨ y'      Now let us dr

Explain the graph of an equation and graph of an inequality, Explain The Gr...

Explain The Graph of an Equation and The Graph of an Inequality ? Here is the graph of the equation y = x. Notice that for every point along the line shown in the graph, the y

Applications of rational numbers, Kaylee makes 56 packages in seven hours T...

Kaylee makes 56 packages in seven hours Taylor makes 20% more packages in nine hours who makes more packages per hour

Compound and simple interest, Your grandparents gave you a gift of R2 000 o...

Your grandparents gave you a gift of R2 000 on your 16th birth day. You want to invest the money in an account over four years. You have an option of investing the R2 000 at 8% per

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd