Kuhn-Tucker conditions and linear homogeneity

Max Albert

No 226, Discussion Papers, Series II from University of Konstanz, Collaborative Research Centre (SFB) 178 "Internationalization of the Economy"

Abstract: The paper proves a theorem on modified Kuhn-Tucker conditions for the case where a linearly homogenous function is part of the target function. These conditions are necessary and sufficient if target function and constraints satisfy certain re-quirements. Moreover, the envelope theorem can be applied as if the Standard Kuhn-Tucker conditions were valid. An application to a problem in the theory of production illustrates the usefulness of the theorem.

Date: 1994
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Journal Article: Kuhn-Tucker conditions and linear homogeneity (1995)
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