Math Problem Statement
Consider a utility function U (X1，x2，…Xn) = min (X1，…Xn), where the quantity of X1，…X！ consumption good is denoted by ∈ R1+. Is this utility function (strictly) concave and/or (strictly) quasiconcave? How about the function (1 2 ) = max (1 2 )?
Solution
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Math Problem Analysis
Mathematical Concepts
Utility Theory
Concavity
Quasiconcavity
Formulas
Utility function: U(X_1, X_2, \dots, X_n) = \min(X_1, X_2, \dots, X_n)
Utility function: V(X_1, X_2, \dots, X_n) = \max(X_1, X_2, \dots, X_n)
Theorems
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Suitable Grade Level
Advanced Undergraduate
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