Do problem 2 from the Autumn 2007 exam, which is available at http://www.uio.no/studier/emner/sv/oekonomi/ECON4120/h09/undervisningsmateriale/eksamenssett/M2x071207en.pdf From the exam problem collection, do: 8 59 125 132 Also, for problem 132: You will find that in most cases, there is a local minimum point (x*,y*), and the local minimum value f(x*,y*) will then be a function u(a). * Find u'(a). 73 (a Lagrange problem, theory known from ECON2200 but will be reviewed during the lectures Nov 2--3 lectures)