Question: Recall that the CES function is homogeneous of degree one (exercise 3.163), while the Cobb-Douglas function is homogeneous of degree a1 + a2 + ...

Recall that the CES function is homogeneous of degree one (exercise 3.163), while the Cobb-Douglas function is homogeneous of degree a1 + a2 + ... + an (example 3.69). In the previous example we assumed that a1 + a2 + ... + an = 1. What is the limit of the CES function when a1 + a2 + ... + an ≠ 1?

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