Testing more properties of the Cobb-Douglas utility function Check if the Cobb-Douglas utility function u(x1, X2 ) = x x2, where a, B > 0,
Testing more properties of the Cobb-Douglas utility function Check if the Cobb-Douglas utility function u(x1, X2 ) = x x2, where a, B > 0, satisfies the fol- lowing properties: (a) local nonsatiation, (b) decreasing marginal utility for both goods 1 and 2, (c) quasi-concavity, and (d) homotheticity
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