Question
Q) Suppose that the utility function of a consumer is U = 100 X 3/5 Y 2/5 and M(Income) = 200, Px= Rs.2, Py= Rs.5.
Q) Suppose that the utility function of a consumer is
U = 100 X3/5Y2/5
and
M(Income) = 200, Px= Rs.2, Py= Rs.5.
Determine the quantities of X & Y that the consumer should purchase in order to maximize his utility using lagrangian method. Also interpret the value of λ.
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Mathematical Applications for the Management Life and Social Sciences
Authors: Ronald J. Harshbarger, James J. Reynolds
11th edition
9781337032247, 9781305465183, 1305108043, 1337032247, 1305465180, 978-1305108042
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