Utility functions of several variables are ubiquitous in economics. Their maximization requires inversion of the gradient map. Using convex analysis tools, we provide a representation of an extension of this inverse that accounts for possible constraints. To solve economic equilibrium problems, the utility functions of the agents are frequently aggregated into a representative (agent’s) utility function. We establish regularity and inversion properties of such representative utility functions.
Multivariable Utility Functions
Maria B. Chiarolla;
2009-01-01
Abstract
Utility functions of several variables are ubiquitous in economics. Their maximization requires inversion of the gradient map. Using convex analysis tools, we provide a representation of an extension of this inverse that accounts for possible constraints. To solve economic equilibrium problems, the utility functions of the agents are frequently aggregated into a representative (agent’s) utility function. We establish regularity and inversion properties of such representative utility functions.File in questo prodotto:
Non ci sono file associati a questo prodotto.
I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.
