Sensitivity Analysis between Lagrange Multipliers and Consumer Coupon: Utility Maximization Perspective

Devajit Mohajan and Haradhan Mohajan
Authors registered in the RePEc Author Service: Dr Haradhan Kumar Mohajan ()

MPRA Paper from University Library of Munich, Germany

Abstract: Sensitivity analysis is a vital concept in optimization models. From this analysis an economist can predict on the outcome of an economic model by the use of certain range of input variables. Utility maximization policy is essential for the sustainability of the economic organizations. This study takes an attempt to discuss sensitivity analysis between Lagrange multipliers and consumer coupon, where utility maximization is analyzed with detail mathematical analysis. In the study method of Lagrange multipliers is used to investigate the utility function; subject to two constraints: budget constraint, and coupon constraint. Moreover, two Lagrange multipliers are used here with four commodity variables.

Keywords: Coupon; consumers; Lagrange multipliers; sensitivity analysis; utility maximization (search for similar items in EconPapers)
JEL-codes: C3 C51 C53 C61 C67 L7 (search for similar items in EconPapers)
Date: 2022-09-10, Revised 2022-09-16
New Economics Papers: this item is included in nep-upt
References: View references in EconPapers View complete reference list from CitEc
Citations:

Published in Frontiers in Management 1.2(2023): pp. 14-25

Downloads: (external link)
https://mpra.ub.uni-muenchen.de/116022/1/MPRA_paper_116022.pdf original version (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:116022

Access Statistics for this paper

More papers in MPRA Paper from University Library of Munich, Germany Ludwigstraße 33, D-80539 Munich, Germany. Contact information at EDIRC.
Bibliographic data for series maintained by Joachim Winter ().