Why demand function are homogeneous of degree zero

Reference no: EM132201186

Question: Demand functions are homogeneous of degree zero in what arguments? What does it mean for a function to be homogeneous of degree k in its arguments? Using first order conditions and assuming only two goods, explain why demand function are homogeneous of degree zero. The response must be typed, single spaced, must be in times new roman font (size 12) and must follow the APA format.

Reference no: EM132201186

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