Re: ISI 2017 key

Posted by Abhitesh on May 19, 2017; 10:24am
URL: http://discussion-forum.276.s1.nabble.com/ISI-2017-key-tp7604137p7604357.html

In unregulated cases for i-th person xj's are constant she can't influence them. She has to just maximize U(x)=v(xi) which is independent of population size.
I solved second part with understanding that increase in taxes should decrease kms driven. So x1=...xn=x. Now U'(x)=v'(x)-(n-1)k=0. I.e. v'(x)=(n-1)k. So v'(x) should increase as population increases which can happen if x decreases for which taxes should go up.