6.10 Example 6.3 computes the demand functions implied by the three-good CES utility function U(X, Y, Z)

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6.10 Example 6.3 computes the demand functions implied by the three-good CES utility function U(X, Y, Z) .

a. Use the demand function for X in Equation 6.28 to determine whether X and Y or X and Z are gross substitutes or gross complements.

b. How would you determine whether X and Y or X and Z are net substitutes or net complements?

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Microeconomic Theory Basic Principles And Extensions

ISBN: 9780324270860

9th Edition

Authors: Walter Nicholson

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Question Posted: Nov 12, 2024 03:01 AM

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6.10 Example 6.3 computes the demand functions implied by the three-good CES utility function U(X, Y, Z)

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Microeconomic Theory Basic Principles And Extensions

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