Show that the indirect utility function v(p,m) (example 2.90) is homogeneous of degree zero in p and

Question:

Show that the indirect utility function v(p,m) (example 2.90) is homogeneous of degree zero in p and m.
Analogous to convex functions (proposition 3.7), linearly homogeneous functions can be characterized by their epigraph.

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Foundations of Mathematical Economics

ISBN: 978-0262531924

1st edition

Authors: Michael Carter

See More Books

Question Posted: May 02, 2016 11:42 AM

See More Questions

Show that the indirect utility function is quasi convex.
Show that the indirect utility function is decreasing in p. u( p, ni) sup u(x) =
If f is homogeneous of degree n, show that 'f ? 'f + y?- ,2 ? n(n 1)/(, ) + 2
Question)please make sure also calculate Total and Annual MacDUR. Find the Macaulay Duration for a $ 12 \% $ semiannual coupon bond with $ \$ 1,000 $ face, 3 years to maturity, and a YTM of \(...
Use the following data and a stepwise regression analysis to predict y. In addition to the two independent variables given here, include three other predictors in your analysis: the square of each x...
Incentive Wage Plans. For the first week in March, the record of M. Roderick shows: LO3 Hours Units Worked Produced Monday. . 8 180 Tuesday. . 8 200 Wednesday. . 8 220 Thursday. . 8 224 Friday. . 8...
Identificar las cuatro redes sociales principales y la forma en la que los gerentes de marca las integran en las acciones de marketing de sus organizaciones. OA3
The following expenditures were incurred by Obermeyer Company in purchasing land: cash price $70,000, accrued taxes $3,000, attorneys fees $2,500, real estate brokers commission $2,000, and clearing...
Trini Company set the following standard costs per unit for its single product Direct materials (30 pounds @ $5.10 per pound) $ 153.00 Direct labor (8 hours @ $14 per hour) 112.00 Variable overhead...
Beth R. Jordan lives at 2322 Skyview Road, Mesa, AZ 85201. She is a tax accountant with Mesa Manufacturing Company, 1203 Western Avenue, Mesa, AZ 85201 (employer identification number 11-1111111)....
If the production function of a competitive firm is homogeneous of degree one, then the cost function c(w,y). is homogeneous of degree one in y, that is, c(w, y) = yc(w, 1) where c(w, 1). is the cost...
A function f : S is linearly homogeneous if and only if epi f is a cone. The following useful proposition show how quasiconcavity and homogeneity combine to produce full concavity. Quasiconcavity...
Using Figure 28.2 as a guide, describe the computation of a fiduciary entity's accounting income, taxable income, and distributable net income? Figure 28.2 Accounting Income, Distributable Net...
Consider how they might directly apply to your life and work environment when answering the questions below. Competency 1: Evaluate data-driven processes and approaches of an organization's...
There are several website optimizer tools available to help you "increase website conversion rates." Following : Explain fully what is meant by "increase website conversion rates"; then, identify two...
Imagine being a human resource director for a large hotel chain. Report to management highlighting problematic diversity issues that may arise. Identify 3 challenging diversity issues (e.g., race,...
A study based on a sample of 4 0 0 medical school students finds that the ratio of female students is 0 . 4 8 . The school rules require that the female ratio in the school is at least 0 . 5 ? a ) (...
One of the many paradoxes in leadership is the challenge of encouraging a team effort while simultaneously encouraging individuals to excel. Why is this paradox a challenge for team leaders, and how...
For the network of Fig. 9-49, obtain Z input,1 and Z transfer,13 . Show that Z transfer,31 = Z transfer,13 . j -j4 HE 5 1 j
Differentiate the following terms/concepts: a. Personality types and money attitudes b. Planners and avoiders c. Moderating and adapting to biases d. "Perfectible judges" and "incorrigible judges"
Using the notation introduced in Example 4.29, let Show that there is exactly one value of x such that if your envelope contains x, then you should switch. if r = 2*. Pa =(4)*. 0, otherwise.
Show that, if X and Y are random variables taking on only two values each, and if E(XY ) = E(X)E(Y ), then X and Y are independent.
If the first roll in a game of craps is neither a natural nor craps, the player can make an additional bet, equal to his original one, that he will make his point before a seven turns up. If his...
Product Weight Sales Additional Processing Costs P 300,000 lbs. $ 245,000 $ 200,000 Q 100,000 lbs. 30,000 -0- R 100,000 lbs. 175,000 100,000 If joint costs are allocated based on relative weight of...
The projected benefit obligation was $380 million at the beginning of the year. Service cost for the year was $21 million. At the end of the year, pension benefits paid by the trustee were $17...
CVP Modeling project The purpose of this project is to give you experience creating a multiproduct profitability analysis that can be used to determine the effects of changing business conditions on...

Show that the indirect utility function v(p,m) (example 2.90) is homogeneous of degree zero in p and

Question:

Step by Step Answer:

If the consumers demand is invariant to proportionate changes in ...View the full answer

Foundations of Mathematical Economics

Students also viewed these Numerical Analysis questions