Utility Maximization: Cobb Douglas Utility Function

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Equating MRS and the slope of the budget line to find the optimal consumption bundle that maximizes the utility. If you are reading Varian's textbook, treat a as c/(c+d), and 1-a as d/(c+d).
  1. Iris Franz
  2. Cobb-Douglas utility function
  3. marginalrate of substitution
  4. budget line
  5. optimal consumption bundle
  6. utility maximization
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I love you for this, just a blessing.

rubabsikander
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thanks, very clear explanation with different colour easy to understand

RememberRund
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hi im sorry im just wondering where does the (*x1 *1-a/a) come from ?

Yasmin-suff
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Without a budget constraint can we find the slope of a given utility function?

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