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(Appendix) Carl Is Stranded in the Forest and Must Survive

Question 45

Essay

(Appendix) Carl is stranded in the forest and must survive on coconuts and quail.His utility function for those items is U = f(C,Q) = 10C - C2+ 4Q - Q2.
a.If Carl maximizes his utility and has no constraints on how many he can get, what will he do?
b.If Carl is able to get only some combination of 5 coconuts and quail, how many will he get of each if he is doing the best he can?

Correct Answer:

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a.By taking the derivative of the utilit...

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