=+g. Suppose that u took the form u1x2 5 0.1x 0.5 2 a x 100,000b 2.5 (17.36)
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=+g. Suppose that u took the form u1x2 5 0.1x 0.5 2 a x
100,000b 2.5
(17.36)
This is the equation that was used to arrive at most of the graphs in part A of the chapter, where x is expressed in thousands but plugged into the equation as its full value; that is, consumption of 200 in a graph represents x 5 200,000. Verify the numbers in Graphs 17.1 and 17.3. (Note that the numbers in the graphs are rounded.)
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Related Book For
Microeconomics An Intuitive Approach With Calculus
ISBN: 9781337335652,9781337027632
2nd Edition
Authors: Thomas Nechyba
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