Constant Elasticity of Substitution utility function U(x, y) = (x^ay (1-a))^b +y. I am looking for a this form of CES utility function to derive demand functions. (Note => a is alfa, b is lambda).
Constant Elasticity of Substitution utility function U(x, y) = (x^ay (1-a))^b +y. I am looking for a this form of CES utility function to derive demand functions. (Note => a is alfa, b is lambda).
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Transcribed Image Text:Constant Elasticity of Substitution utility function U(x, y)
=
(x^ay (1-a))^b +y. I am
looking for a this form of CES utility function to derive demand functions. (Note => a is alfa,
b is lambda).
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