Hi guys! Im a first semester student and I have a final exam
tomorrow. There is this oneĀ problem I still dont know how to
solve...
A Brazilian town regularly holds festivals, which is enjoyed by all
citizens. The utility function of a citizen is u(d, p)=sqrt(d)+p,
where d is the number of dancers in the festival and p is the money
spent on private goods. The income of a person is 500.000 reals.
The cost of inviting a dancer to the festival is 500 reals. There
are 10.000 people in the town. If the town council wants to provide
the efficient number of dancers for the festival, how many dancers
are going to be invited? Explain.