Which of the following utility functions does not admit corner solutions (x = 0 or x; = 0) given a positive income m > 0? a) u(x1, x2) = x1 + 2x2, b) v(x1,x2) = x1X2, c) w(x1,x2) = max{x1, x2}, d) y(x1, x2) = Inx1 + x2.

Which of the following utility functions does not admit corner solutions (x = 0 or x; = 0) given a positive income m > 0? a) u(x1, x2) = x1 + 2x2, b) v(x1,x2) = x1X2, c) w(x1,x2) = max{x1, x2}, d) y(x1, x2) = Inx1 + x2.

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

1. Which of the following utility functions does not admit corner solutions (x = 0 or x = 0) given
a positive income m > 0?
a) u(x1, x2) = x, + 2x2,
b) v(x1, x2) = X1X2,
c) w(x1,x2) = max{x1,x2},
d) y(x1, x2) = Inx1 + x2.

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