SUNY Geneseo Department of Mathematics
Wednesday, October 26
Math 223 01
Fall 2022
Prof. Doug Baldwin
Problem Set 7’s estimation problem.
Problem 2 in this problem set.
The key idea is to estimate the function’s derivatives from the data in the table. Then you can use those derivatives and a function value from a table entry near (2.1, 3.05) to do linear estimation. The derivative with respect to x can be estimated by looking at how the function’s value changes across rows, and the derivative with respect to y by looking at changes up or down columns.
By Madeline Klein, Geneseo Class of 2015 and Hannover Reassurance of America
“This is What Actuaries Do”
Thursday, October 27 2:30 - 3:20 pm
ISC 131
Based on section 3.8 in the textbook.
To solve an optimization problem with constraint g(x,y) = 0 and objective function f(x,y), use the fact that minimums or maximums occur where…
Suppose the production function I used yesterday to motivate optimization has a constraint that x + y ≤ 10. So we have
What values of x and y maximize production, and what is the maximum amount of product you can produce?
To find the x and y values, find the gradients and set up the equations from the “Key Ideas”:
To solve the equations, notice that the first 2 imply that 0.8 y0.5 / x0.6 = x0.4 / y0.5. Use that equation to express x in terms of y, then plug that into the constraint (the third equation) to find the actual value of x. Once you have a value for x, use it to solve for y:
Finally, plug these values of x and y into a calculator or Mathematica to find the corresponding z: z ≈ 8.56.
Another example of optimization with Lagrange multipliers.
No new reading.