Unformatted text preview: ) = x α y β where α,β > 0. (a) Show that f is concave if α + β ≤ 1. (2 points) (b) Show that f is quasi-concave, but not concave, if α + β > 1. (2 points) 3. Read pages 407–409 of Simon and Blume (1994) and do exercise 17.9 of Simon and Blume (1994, p.410). (2 points) 1...
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This note was uploaded on 10/22/2009 for the course ECG 765 taught by Professor Fackler during the Fall '07 term at N.C. State.
- Fall '07