MICROECONOMICS - TEST ONE
If there is a single consumption good in the economy/model, the utility of wealth function is just a standard utility function over consumption of the single good. If multiple goods exist, we are dealing with a derived utility of wealth function U(W) where U(W) ≡ Max V(c) s.t. p′c = W where c is a vector of consumption goods, p is a price ... ................
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