estion 1 Calculating MRS for CD Utility Functions (a) If a consumer has a CD utility function U(91,92) = 90.4996, calculate MRS1,2. (b) If a consumer has a CD utility function U(91,92) = 992, calculate MRS1,2. (c) If a consumer has an utility function U(91,92) = a ln(91) + (1 - a) In (92), calculate MRS1,2. Is it the same as the result in the previous part?

estion 1 Calculating MRS for CD Utility Functions (a) If a consumer has a CD utility function U(91,92) = 90.4996, calculate MRS1,2. (b) If a consumer has a CD utility function U(91,92) = 992, calculate MRS1,2. (c) If a consumer has an utility function U(91,92) = a ln(91) + (1 - a) In (92), calculate MRS1,2. Is it the same as the result in the previous part?

Microeconomic Theory

12th Edition

ISBN:9781337517942

Author:NICHOLSON

Publisher:NICHOLSON

Chapter4: Utility Maximization And Choice

Section: Chapter Questions

Problem 4.3P

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