+0  
 
0
334
2
avatar+2353 

Could someone please show me the intermediate steps of rewriting this

$$\pi(p,w) = p(\frac{w}{pa})^{\frac{a}{a-1}}-w(\frac{w}{pa})^{\frac{1}{a-1}}$$

to this

$$\pi(p,w) = w(\frac{1-a}{a})(\frac{w}{ap})^{\frac{1}{a-1}}$$

 

reinout

reinout-g  Jul 1, 2014

Best Answer 

 #1
avatar+26399 
+10

pi(p,w)

Alan  Jul 1, 2014
Sort: 

2+0 Answers

 #1
avatar+26399 
+10
Best Answer

pi(p,w)

Alan  Jul 1, 2014
 #2
avatar+2353 
0

Thank you Alan,

I made some foolish mistake at

$$p*(\frac{w}{p*a})^{\frac{a}{a-1}} = p*(\frac{w}{p*a})^{\frac{a-1}{a-1}+ \frac{1}{a-1}}$$

 

Thank you 

reinout-g  Jul 1, 2014

10 Online Users

We use cookies to personalise content and ads, to provide social media features and to analyse our traffic. We also share information about your use of our site with our social media, advertising and analytics partners.  See details