Question 3 (14 marks in total) Consider the utility function of Charles: U = ev² Where: U = total utility of Charles v =

[answerhappygod]

Question 3 14 Marks In Total Consider The Utility Function Of Charles U Ev Where U Total Utility Of Charles V 1 (70.73 KiB) Viewed 30 times

Question 3 (14 marks in total) Consider the utility function of Charles: U = ev² Where: U = total utility of Charles v = hours of video games that Charles consumes and MU₂ b) Stationary points are those where MU function. (6v - 9) = Where: MU₁ = the marginal utility of video game consumption, calculated as the change in total utility due to a unit change in video game consumption (measured in hours). = du dv du a) Calculate MU = dv [Hint: use the product rule of differentiation and then simplify] (3 marks) du = 0. Find the stationary points of Charles' utility dv (2 marks)