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For each of the utility functions below, sketch the indifference curve for utility level 24 and indicate the direction of the weakly preferred set. (1,
For each of the utility functions below, sketch the indifference curve for utility level 24 and indicate the direction of the weakly preferred set.
(1, 2) = 31 + 2
(1, 2) = min{min{1, 22}, min{21, 2 }}
For the utility function (1, 2) = ln(1 ) + 2, derive the marginal rate of substitution. [Assume that x1 is measured on the horizontal axis.]
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