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Utility Function Assignment | Homework For You

Author:
December 6th, 2019

SupposeU(x, y) = 4x 2 + 3y 2

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(a) CalculateU/x andU/y

(b) Evaluate these partial derivatives at x = 1, y = 2.

(c) Write the total differential for U

(d) Calculate dy/dx for dU = 0 – that is, what is the implied trade-off between x and y holding U constant?

(e) Show U=16 whenx=1, y=2.

(f) What is the marginal rate of substitution when x = 1, y = 2?

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