Mathematical Economics

(Differentiation)
Aji Raditya
 Mathematical Economics
- Lines and Functions
- Differentiation (one variable)
- Partial Differentiation (two variable)
- Linear Programing
Previously…
Types of Slope

Zero

Negative
Positive Undefined
or
No Slope
 Slope of a curve

slope (m) of the line:

y 1   2  3 1
m   
x 4   2  6 2
Slope of a curve

Slope

m>0
m<0

m=0
 Slope of a curve
Given the quadratic function 𝑓(𝑥) = 𝑥2
 Slope of
Point 𝒙
tangent 𝑓’(𝑥)
A -3
B -2
C -1
D 0
E 1
F 2
G 3
 Slope of
Point 𝒙
tangent 𝑓’(𝑥)
A -3

B -2

C -1

D 0
1
E 1

F 2
-6 G 3

-4
1
0 -2
 Slope of
Point 𝒙
tangent 𝑓’(𝑥)
A -3 -6
B -2 -4
C -1 -2
D 0 0
E 1

F 2

G 3 46

1
1
2
1
 Slope of a Curve
Point 𝒙 Slope (𝑓’(𝑥))
A -3 -6 = 2 (-3)
B -2 -4 = 2 (-2)
C -1 -2 = 2 (-1)
D 0 0 = 2 (0)
E 1 2 = 2 (1)
F 2 4 = 2 (2)
G 3 6 = 2 (2)

x 2 (x)

f  x  x 2

f ' x   2x
Various Symbols for the Derivative:

dy df ( x)
or f '( x) or
dx dx
dy y
Definition:  lim
dx x 0 x
 Basic Differentiation Rules
d
1. c  0  c is a constant 
dx

2.
d n
dx
 
x  nx n1  n is a real number 

d d
3.  cf ( x)   c  f ( x)   c is a constant 
dx dx

d d d
4.  f  x   g  x     f ( x)    g ( x) 
dx dx dx
5. Product Rule
d d d
 f  x   g  x     f ( x)  g ( x)   g ( x)  f ( x)
dx dx dx

6. Quotient Rule
d d
d  f   
x  g ( x )
dx
 f ( x )   f ( x )
dx
 g ( x ) 
 
dx  g ( x)   
g ( x )
2
7. The Chain Rule
If h( x)  g  f ( x)  then
h( x)  g   f ( x)   f ( x)
Note: h(x) is a composite function.
Another Version:

If y  h( x)  g u  , where u  f ( x), then

dy dy du
 
dx du dx
 Exercises
1. Find the first derivatives of each of the following
2
a) f(x) = 3x + 4
3 3
b) f(x) = 2x + 12x – 8x + 4
3
c) f(x) = (3x-2)(4x +1)
3𝑥+2
d) 𝑓 𝑥 = 4𝑥−1
1
e) 𝑓 𝑥 = (3𝑥 2 − 4𝑥)6
2
 HIGHER DERIVATIVES
Differentiating the first derivative gives the second
derivative, differentiating the second derivative gives the
third, and so on.
The same rules for differentiation apply always, whether
the required derivative is first, second or higher.
The second derivatives is written as:
 Exercises
1. Find the second derivatives of each of the following
2
a) f(x) = 3x + 4
3 3
b) f(x) = 2x + 12x – 8x + 4
Terima Kasih