Author Question: Symmetry of net substitution effects is one of the principal conclusions of the theory of utility ... (Read 54 times)

bcretired · **on:** Jul 1, 2018

Symmetry of net substitution effects is one of the principal conclusions of the theory of utility maximization. Which two mathematical theorems are used to prove this symmetry?
a. Taylor's Theorem and Fundamental Theorem of Calculus
b. Cauchy's Theorem and DeMoivre's Theorem
c. Lagrangian Theorem and Fundamental Theorem of Calculus
d. Envelope Theorem and Young's Theorem

Question 2

In the Cournot duopoly model, each of the two firms, in determining its profit-maximizing price-output level, assumes that the other firm's ____ will not change.
a. price
b. output
c. marketing strategy
d. inventory
e. none of the above