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Please explain how to solve step by step and name any rules or theorems used. The following is from Chiang's fundamental mathematical economics. 1. Find
Please explain how to solve step by step and name any rules or theorems used.
The following is from Chiang's fundamental mathematical economics.
1. Find the instantaneous rate of growth: (@) y = 512 (c) y = ob (e) y = 1/3' (b) y = at (d) y = 2'(12) 2. If population grows according to the function H = Ho(2)" and consumption by the function C = Coed, find the rates of growth of population, of consumption, and of per capita consumption by using the natural log. 3. If y is related to x by y = x*, how will the rates of growth ry and r,, be related? 4. Prove that if y = u/v, where u = f(1) and v = 9(!), then the rate of growth of y will bery = fu - fv, as shown in (10.25). 5. The real income y is defined as the nominal income Y deflated by the price level P. How is ry (for real income) related to ry (for nominal income)? 6. Prove the rate-of-growth rule (10.27). 7. Given the demand function Q = k/ P^, where k and n are positive constants, find the point elasticity of demand &g by using (10.28) (cf. Exercise 8.1-4). 8. (a) Given y = wz, where w = g(x) and z= h(x), establish that Eyx = =wx + Fxx- (b) Given y = u/v, where u = G(x) and v = H(x), establish that yx = Eux - Evx. 9. Given y = f(x), show that the derivative d(log, y)/(log, x)-log to base b rather than e-also measures the point elasticity &yx- 10. Show that, if the demand for money Ma is a function of the national income Y = Y(!) and the interest rate i =: i((), the rate of growth of My can be expressed as a weighted sum of ry and fi, where the weights are the elasticities of My with respect to Y and i, respectively. 11. Given the production function Q = F(K, L), find a general expression for the rate of growth of. Q in terms of the rates of growth of K and L. 4. Prove that for any two scalars g and k (a) k(A + B) = KA +KB (b) (g + K)A = gA + KA (Note: To prove a result, you cannot use specific examples.) 5. For (a) through (d) find C = AB. (a) A = [12 14 20 5 8 = 2 (b) A = $ 7 7 11 ( C) A = 2 9 8 = 3 4 6 10 10 (0) A = $ 3 B = 11 3 2 9 (e) Find (@) C = AB, and (ii) D = BA, if A = 8 = [3 6 -2] 6. Prove that ( A + B)(C + D) = AC - AD + BC +. BD. 7. If the matrix A in Example 5 had all its four elements nonzero, would x'Ax still give a weighted sum of squares? Would the associative law still apply? 8. Name some situations or contexts where the notion of a weighted or unweighted sum of squares may be relevantStep by Step Solution
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