Re: small doubt

Posted by L on Jun 10, 2015; 6:29am
URL: http://discussion-forum.276.s1.nabble.com/small-doubt-tp7597552p7597598.html

How come the utility function is concave? I am getting hessian to be positive semi-definite, so, it should be convex. And in that case, Y should not change at all. Also, isn't this is a quasilinear utility function with linear in x, so, consumption of Y should not change at all.