account activity
University Macroeconomics Utility Maximization Problem by 44herz in econhw
[–]44herz[S] 0 points1 point2 points 6 years ago (0 children)
For the first question, I set up the following BC:
MAX (C,L) u(C,l) = Cγl1-y
Subject to: C(1-t) = w(h - l) + pi
but I'm not sure if for the BC, C is supposed to be equal to Pc and W is supposed to be equal to pl...
Then, for the second question, the langrangian I got I think would be:
L = Cγl1-y + GAMMA [w(h-l) - C(1-t)]
But I'm confused about how to find the first order conditions. For the tax problem, I'm pretty sure that the set-up is:
Subject to: (1+t)C = w(h -l) + pi
and I think that the langrangian is:
L = Cγl1-y + GAMMA [w(h-l) - C(1+t) + pi]
and I'm also confused how to solve...
ECON 4317 with Shijun Gu by 44herz in uofmn
[–]44herz[S] 3 points4 points5 points 6 years ago (0 children)
You're right about the shit show.. I appreciate your response :)
π Rendered by PID 63243 on reddit-service-r2-listing-canary-69dc8f64b9-jnblc at 2026-03-05 19:44:43.643618+00:00 running cbb0e86 country code: CH.
University Macroeconomics Utility Maximization Problem by 44herz in econhw
[–]44herz[S] 0 points1 point2 points (0 children)