Chapter 7 Section 4
45. f(x, y)
Constrained Optimization: The Method of Lagrange Multipliers 551
x2 xy 7y2
x ln y
46. f(x, y) 6x2 12xy y4 x 16y 3
47. f(x, y) 2x4 y4 x2(11y 18)
LEVEL CURVES
48. Sometimes you can classify the critical points of a function

Intermediate
Microeconomics
Tutorial III
Question 2.2
Suppose the only two goods in the world are peanut butter and jelly.
A. You have no exogenous income, but you do own 6 jars of peanut butter
and 2 jars of jelly. The price of peanut butter is $4 per ja

Econ 121b: Intermediate Microeconomics
Dirk Bergemann, Spring 2012
Week of 1/22 - 1/28
1
Lecture 5: Utility Maximization Continued
1.1
Application of Substitution Method
Example 1. We consider a consumer with Cobb-Douglas preferences. CobbDouglas preferen

Example of a quasi-linear utility function:
U (x1 , x2 ) = x1 +
x2
1. We need to make sure that both x1 and x2 are 0 because 1) the
function is not defined and 2) we do not want to talk about negative
consumption.
2. How does the indifference curve map lo

Chapter 1 Introduction to Game Theory
Introduction:
Let us consider the very simple situation where you decide where to meet your friends. You
have some information about their behavior:
20% of the time they go to coffee house A;
80% of the time they go t

Time line
Feb 11-13 : Harsh Winter Storm Reported in the Midwest
February 14th : JetBlue Crisis Hits, 1900 Flights cancelled. 130000
passengers affected
Feb 19th :Founder and Ceo, David Neelman Realeased Youtube
apology
Feb 20th: Normal Operation Resu

Persuasion
Type out your responses & bring with you to class.
Task A
An Invitation to Wellness at Whirlpool Corporation
Do you believe that Whirlpool Corporation is using appropriate strategies to persuade their employees? Are you
able to identify any pro

"The Curious Case of Mr.Jones Feet" Summary
Mr. Jones was convicted of murdering Ms.Furman and Mr.Pipkin and of armed robbery.
He repeatedly bashed them against the head with a hammer. The motive of the murder
was said to be that Mr.Jones' paycheck had be

S O L U T I O N S
4
Tastes and Indifference Curves
Solutions for Microeconomics: An Intuitive
Approach with Calculus (International Ed.)
Apart from end-of-chapter exercises provided in the student Study Guide, these
solutions are provided for use by instr