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Economics - Financial Markets
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OpenStudy (anonymous):
9. Utility is U(x,y)= x2+y a. Derive the formula for the indifference curve that gives me a utility of exactly 8. Draw that indifference curve. b. Derive marginal utility functions mux(x,y) and muy(x,y). Derive MRS(x,y). c. Does this utility function satisfy the hypothesis of diminishing MRS? (Explain.) d. Name some commodities these might be.
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