Question
Suppose that rational preference relation is represented by the utility function u(x1, x2) = v(x2) + x1. In the above, v(.) is some strictly increasing
Suppose that rational preference relation is represented by the utility function
u(x1, x2) = v(x2) + x1. In the above, v(.) is some strictly increasing function. Show that rational preference relation is quasi-linear in
commodity 1.
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Principles of Economics
Authors: N. Gregory Mankiw
8th edition
1305585127, 978-1305971493, 978-1337516860, 1337516864, 978-0357539200, 978-1305585126
