Dual differentiability with nonvanishing utility curvature

ID: dual-differentiability-with-nonvanishing-utility-curvature

For an increasing strictly concave differentiable utility satisfying Inada conditions, its utility conjugate has a unique optimizer and derivative . The dual is strictly decreasing and strictly convex. Twice differentiability of the dual additionally follows when exists and is strictly negative everywhere. Strict concavity alone allows to vanish and does not imply this additional assertion.

New to topics? Read the docs here!