Consider the following utility maximization problem. It would be typical to cons

Question

Consider the following utility maximization problem.

It would be typical to consider non-negativity constraints on the two choice variables. However, it would be trivial to show that neither of these will bind, unless m = 0. Therefore we will ignore them.

(b) Derive first order necessary conditions for the solution to this problem. [Note: consider the general version of the problem, where money income is m.]

Consider the following utility maximization problem. maxu(x1,x2) = x1^2 x2 s.t. 2x1^2+x2^2 0 . Show that this yields a solution only if m

Explanation / Answer

https://www.econ.berkeley.edu/sites/default/files/course-homepage/2014-02-20/answers/pset2solution.pdf
may be this pdf will help you....

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