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Are the goods in additively separable utility functions normal goods?

Inspired by this answer.


To make it a bit more precise, by normal good I mean demand is (not necessarily strictly) increasing in income, and by additiveadditively separable utility function I mean that a monotone transformation exists for which $$ U(x_1,x_2,\dots) = f_1(x_1) + f_2(x_2) + \dots $$ (Also assume $U$ is increasing in all variables.)
Given a linear budget constraint and a utility maximizing consumer, do these goods $x_i$ exhibit normal behavior for all income levels?

Are the goods in additively separable utility functions normal goods

Inspired by this answer.


To make it a bit more precise, by normal good I mean demand is (not necessarily strictly) increasing in income, and by additive utility function I mean that a monotone transformation exists for which $$ U(x_1,x_2,\dots) = f_1(x_1) + f_2(x_2) + \dots $$ (Also assume $U$ is increasing in all variables.)
Given a linear budget constraint and a utility maximizing consumer, do these goods $x_i$ exhibit normal behavior for all income levels?

Are the goods in additively separable utility functions normal goods?

Inspired by this answer.


To make it a bit more precise, by normal good I mean demand is (not necessarily strictly) increasing in income, and by additively separable utility function I mean that a monotone transformation exists for which $$ U(x_1,x_2,\dots) = f_1(x_1) + f_2(x_2) + \dots $$ (Also assume $U$ is increasing in all variables.)
Given a linear budget constraint and a utility maximizing consumer, do these goods $x_i$ exhibit normal behavior for all income levels?

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Giskard
  • 29.7k
  • 11
  • 47
  • 81

Inspired by this answer.


To make it a bit more precise, by normal good I mean demand is (not necessarily strictly) increasing in income, and by additive utility function I mean that a monotone transformation exists for which $$ U(x_1,x_2,\dots) = f_1(x_1) + f_2(x_2) + \dots $$ (Also assume $U$ is increasing in all variables.)
Given a linear budget constraint and a utility maximizing consumer, do these goods $x_i$ exhibit normal behavior for all income levels?

Inspired by this answer.


To make it a bit more precise, by normal good I mean demand is (not necessarily strictly) increasing in income, and by additive utility function I mean that a monotone transformation exists for which $$ U(x_1,x_2,\dots) = f_1(x_1) + f_2(x_2) + \dots $$ Given a linear budget constraint and a utility maximizing consumer, do these goods $x_i$ exhibit normal behavior for all income levels?

Inspired by this answer.


To make it a bit more precise, by normal good I mean demand is (not necessarily strictly) increasing in income, and by additive utility function I mean that a monotone transformation exists for which $$ U(x_1,x_2,\dots) = f_1(x_1) + f_2(x_2) + \dots $$ (Also assume $U$ is increasing in all variables.)
Given a linear budget constraint and a utility maximizing consumer, do these goods $x_i$ exhibit normal behavior for all income levels?

Source Link
Giskard
  • 29.7k
  • 11
  • 47
  • 81

Are the goods in additively separable utility functions normal goods

Inspired by this answer.


To make it a bit more precise, by normal good I mean demand is (not necessarily strictly) increasing in income, and by additive utility function I mean that a monotone transformation exists for which $$ U(x_1,x_2,\dots) = f_1(x_1) + f_2(x_2) + \dots $$ Given a linear budget constraint and a utility maximizing consumer, do these goods $x_i$ exhibit normal behavior for all income levels?