f) i) Find the degree of homogeneity of the following functions and comment on theirreturns to scalei. Q = K² + 5KL – 4L²ii. Q = 13KSLii. A consumer has the following utility functiona. U = Ax“yfFind the MU, and MU,iii.Given the following consumption functionC = 70 + 0.85YFind the corresponding savings function and marginal propensity to save

For finding homogeneity, we need to multiply the given factors by λ (lambda). And then we will check…

Answered: i. Q = K² + 5KL – 4L² ii. Q = 13KŠL ner…

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i. Q = K² + 5KL – 4L² ii. Q = 13KŠL ner has the following utility function = Ax“yß

Microeconomic Theory

12th Edition

ISBN:9781337517942

Author:NICHOLSON

Publisher:NICHOLSON

Chapter4: Utility Maximization And Choice

Section: Chapter Questions

Problem 4.3P

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Question

f) i) Find the degree of homogeneity of the following functions and comment on their
returns to scale
i. Q = K² + 5KL – 4L²
ii. Q = 13KSL
ii. A consumer has the following utility function
a. U = Ax“yf
Find the MU, and MU,
iii.
Given the following consumption function
C = 70 + 0.85Y
Find the corresponding savings function and marginal propensity to save

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Step 3 ANSWER ii)

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Answer a-d. Will upvote who will answer properly
hurry up its urgent
1
Hi, I need some help with the attached question. It is taken from an optimisation problem set in my intermediate maths for economists course.
Assume that a person's vitility function is given Assume by the following function. TU = 2x¹¹2,¹/2 also that the price of x is 22 and the price of is 26 and that the budget is 2240. what is the optimal amount of goods x and that should be purchused with this budget? of y у
Dear Expert Hand written solution is not allowed
Sub : EconomicsPls answer As Early As Possible.Dnt CHATGPT.I ll upvote. Thank You'