Copyright (c) Christopher Makler /
econgraphs.org
MRS and the Price Ratio: {{ model.utility.title }}
utility
u({{ notation.xLabel }}, {{ notation.yLabel }}) = {{ model.utility.formula(false) }}
\alpha = {{params.alpha | number: 2}}:
r = {{model.utility.r | number: 2}}:
budget
{{ model.budget.formula(false) }}
{{ notation.incomeLabel }} = {{params.income | number: 0}}:
{{ notation.pxLabel }} = {{params.px | number: 2}}:
{{ notation.pyLabel }} = {{params.py | number: 2}}:
Note: assumes buy only {{ notation.xGoodLabel }} if
MRS = \frac{ {{ notation.pxLabel }} }{ {{ notation.pyLabel }} }
Cobb-Douglas
Complements
Substitutes
CES
Quasilinear
Make bundle draggable
Snap to optimal bundle
MRS = {{ params.px/params.py | number:2 }} = \frac{p_1}{p_2}
MRS = {{ model.utility.mrs({x:params.x, y:model.bundle.y}) | extendedReal:2 }} < {{ params.px/params.py | number:2 }} = \frac{p_1}{p_2}
MRS = {{ model.utility.mrs({x:params.x, y:model.bundle.y}) | extendedReal:2 }} > {{ params.px/params.py | number:2 }} = \frac{p_1}{p_2}