Question: (1) Consider a consumer with consumption space X : R1 with ratid nal weak preferences i: represented by a utility function u : X >

 (1) Consider a consumer with consumption space X : R1 with

(1) Consider a consumer with consumption space X : R1 with ratid nal weak preferences i: represented by a utility function u : X > R. For each of the following cases give an example either by drawing a neat and well labelled diagram with indifference curves and an in dication of the direction in which preferences are increasing or by explicitly giving a utility function that represents the preferences. That is, you should either draw indifference curves or give a utility function; you don't have to do both. (i) The preferences are nondecreasing but not locally nonsatiated. (5 marks) (ii) The preferences are convex but not strictly. (5 marks) Consider a consumer with consumption space X : R1 with a util ity function u : X e R. In each of the following cases give an example of (i) a utility function that is strictly quasiconcave but not con cave. (10 marks) (ii) a utility function that is concave but not strictly quasiconcave. (10 marks)

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