Consider the following utility functions.G(x,y) = x² + 3y²H(x,y) = (x+1)¹/2 + y + 1L(x,y) = xeyU(x,y) = In(x) + y²W(x,y) = 100 x - 4x² + 3 yZ(x,y) = (x)¹/² + yWhich function or functions have strictly convex indifference curves (at every point where x>0 and y>0)?

Consider the following utility functions. G(x,y) = x² + 3y² H(x,y) = (x+1)¹/2 + y + 1 L(x,y) = x ey U(x,y) = ln(x) + y² W(x,y) = 100 x - 4x² + 3 y Z(x,y) = (x)¹/2 + y Which function or functions have strictly convex indifference curves (at every point where x>0 and y>0)?

Consider the following utility functions. G(x,y) = x² + 3y² H(x,y) = (x+1)¹/2 + y + 1 L(x,y) = x ey U(x,y) = ln(x) + y² W(x,y) = 100 x - 4x² + 3 y Z(x,y) = (x)¹/2 + y Which function or functions have strictly convex indifference curves (at every point where x>0 and y>0)?

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

Consider the following utility functions.
G(x,y) = x² + 3y²
H(x,y) = (x+1)¹/2 + y + 1
L(x,y) = xey
U(x,y) = In(x) + y²
W(x,y) = 100 x - 4x² + 3 y
Z(x,y) = (x)¹/² + y
Which function or functions have strictly convex indifference curves (at every point where x>0 and y>0)?

Expert Solution

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The function for which the MRS decreases as good x increases, have strictly convex preference.

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