Total differential, level curve. (please check work)

In summary, for the given function u(x1, x2) = ax1 + bx2, the total differential is du = adx1 + bdx2 and the representative level curve for u = ubar can be drawn as adx1 + bdx2 = 0. The marginal rate of substitution can be found as -dx2/dx1 = a/b.
  • #1
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Homework Statement



For u(x1, x2) = ax1 + bx2

a) find total differential
b) Draw a representative level curve for u = ubar (u with a line over it)
c) Find MRS (marginal rate of substitution)


Homework Equations



u(x1, x2) = ax1 + bx2


The Attempt at a Solution


a)
fx1 = a
fx2 = b
du = fx1dx1 + fx2dx2
du = adx1 + bdx2

b)
Без імені.jpg


c) adx1 + bdx2 = 0
bdx2 = -adx1
-(dx2/dx1) = a/b

∴ MRS = a/b
 
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  • #2
I don't know economics. But mathematically, your answers look good to me. (I looked up the definition for marginal rate of substitution, and that suggests you have the right answer).
 
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  • #3
BruceW said:
I don't know economics. But mathematically, your answers look good to me. (I looked up the definition for marginal rate of substitution, and that suggests you have the right answer).

Yes, I should've added something about that. Thanks :-).
 

Related to Total differential, level curve. (please check work)

1. What is the definition of total differential?

The total differential is a mathematical concept used in multivariable calculus to measure the change in a function with respect to multiple variables. It takes into account the changes in all the independent variables, rather than just one at a time.

2. How is total differential related to the gradient?

The total differential is related to the gradient by the fact that the gradient is a vector that points in the direction of the steepest increase of a function. The components of the gradient represent the partial derivatives of the function, which are used to calculate the total differential.

3. What is the significance of level curves?

Level curves, also known as contour lines, are curves on a two-dimensional graph that connect points with equal values of a function. They are useful in visualizing the behavior of a function and identifying critical points such as maxima, minima, and saddle points.

4. How do you find the total differential of a multivariable function?

To find the total differential of a multivariable function, you take the partial derivative of the function with respect to each independent variable and multiply it by the corresponding change in that variable. Then, you add all of these terms together to get the total differential.

5. Can you provide an example of using total differential and level curves in real-life applications?

Yes, total differential and level curves are commonly used in fields such as economics, physics, and engineering to model and analyze systems with multiple variables. For example, in economics, they can be used to analyze the relationship between multiple factors, such as price and demand, in a market.

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