Lagrange Multiplier Method and Utility Maximization

Here is a first look at the Lagrange Multiplier method for solving constrained optimization problems. I show how it is really just the same thing as setting MRS=Px/Py and using the budget constraint. But, it does give you one additional piece of information.

Видео Lagrange Multiplier Method and Utility Maximization канала BurkeyAcademy