Constrained Optimisation Flashcards
1
Q
What is the Lagrangian Multiplier?
A
Gives approximate change in optimal value of objective function, λ.
Change in Utility = Change in constriant x λ
Maths > Constrained Optimisation > Flashcards
What is the Lagrangian Multiplier?
Gives approximate change in optimal value of objective function, λ.
Change in Utility = Change in constriant x λ