Solution

ID: past-exam-of-the-short-options-course-of-the-university-of-oxford/2015/4/c/solution

The feasible set is closed and contained in the rectangle
It is therefore compact, and the continuous function attains a global maximum there by the extreme value theorem. At the two boundary endpoints where a coordinate is zero, the product is zero. Meanwhile is feasible because the conjugate exponents satisfy , and its product is one. Hence every maximizer has .
On that positive region the constraint is with nonzero gradient. The Lagrange multiplier equations are
The first two identities imply . Since , the multiplier is nonzero, so . The constraint now gives
Thus the sole interior candidate is . Existence of a maximum and the boundary comparison prove the unique global result
This conjugate-power constrained product maximum is valid for all real with ; no integrality of the exponents is needed.
Figure 1.
The constrained product reaches one where the two level curves are tangent
. Original illustration for p=3 and q=3/2. The constraint arc meets the product level xy=1 only at (1,1), where both gradients point along (1,1). The red dashed line is their common tangent. Details.

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