hey for 30, just do the same maximisation problem you solved for question 27 but now put the max problem in the perspective of consumer 2 .. and then subtract from the resource to get consumer 1s consumption. for consumer 2, its a normal case of substitute goods so take p1>p2, p1<p2 and p1=p2 and solve for competitive eqbm.
Can you share your approach for 29? how did we get root 2?
Hi Sharddha ...There are several ways to do
one is draw the graph of the functions....u will see that x^2 satisfies quasi concavity
This function is quasi-concave.
To see this, note that Fis a strictly increasing function on R
. Therefore if F(y)is greater than F(x), it must be that
y is greater than x