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    Marshallian demand functions

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    Consider an individual with the following constant elasticity of substitution utility function:

    U=[(x1^ρ)+(x2^ρ)]^(1/ρ)

    Who faces the following budget constraint:
    p1x1 + p2x2 = I

    Find his Marshallian demand functions. You may assume that nonnegativity constraints on x1 and x2 are not binding.

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    https://brainmass.com/economics/utility-demand/marshallian-demand-functions-262200

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    Question

    Consider an individual with the following constant elasticity of substitution utility function:

    Who faces the following budget constraint:
    p1x1 + p2x2 = I ...

    Solution Summary

    Marshallian demand functions are emphasized.

    $2.19