There is given an increasing and twice differentiable utility function of a form:

1. Calculate a value and give economic interpretation of:

(a) a marginal utility of i-th good,

(b) a growth rate of consumption bundle utility with respect to quantity of i-th good,

(c) an elasticity of consumption bundle utility with respect to quantity of i-th good,

(d) a marginal rate of substitution of the first (second) good by the second (first) good,

(e) an elasticity of substitution of the first (second) good by the second (first) good, for consumption bundles: x¹ = (1, 1), x² = (1, 2). 2. Check if the given function satisfies first Gossen's law.

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