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Unformatted text preview: the Envelope Theorem, / = pq * ( p, ). But since is convex in , / is nondecreasing in . And since p > 0, q * ( p, ) cannot decrease in . (If is C 2 , we have 2 / 2 = pq * ( p, ) / so that q * ( p, ) / 0.) f ( x 1 , t ) f ( x 2 , t ) V ( t ) t V , f The Maximum of a Collection of Convex Functions is Convex V ( t ) = max x { x 1 , x 2 } f ( x , t )...
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This note was uploaded on 11/19/2010 for the course ECON 202 taught by Professor Schlee during the Spring '10 term at ASU.
 Spring '10
 schlee
 Microeconomics

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