- #1
jzq
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Four out of eight problems I do not understand. These are the four problems:
1. Given Utility function----Max utility S.T. Budget curve
a. How demand changes if [tex]p_{1}p_{2}M[/tex] change whether the good is normal, regular, ordinary
b. find demand function [tex]x_1x_2[/tex]
2. Given product function----max the profit
a. find optimal amount of outputs/inputs
3. Minimize cost S.T. [tex]y=f(x_1x_2)[/tex]
a. find cost function [tex]C(y,w_1 w_2)[/tex]
4. Example of a general equilibrium in a pure exchange economy.
I don't even know where to start! I would very much appreciate it if someone would explain it to me. Unfortunately, my professor does not do a very good job of teaching.
1. Given Utility function----Max utility S.T. Budget curve
a. How demand changes if [tex]p_{1}p_{2}M[/tex] change whether the good is normal, regular, ordinary
b. find demand function [tex]x_1x_2[/tex]
2. Given product function----max the profit
a. find optimal amount of outputs/inputs
3. Minimize cost S.T. [tex]y=f(x_1x_2)[/tex]
a. find cost function [tex]C(y,w_1 w_2)[/tex]
4. Example of a general equilibrium in a pure exchange economy.
I don't even know where to start! I would very much appreciate it if someone would explain it to me. Unfortunately, my professor does not do a very good job of teaching.