Original post by 41b
In this case Principal (R) is looking to maximise his utility function according to CR and CP. However, the brace brackets only indicate CP underneath the maximisation. Does this mean anything?
In this case Principal (R) is looking to maximise his utility function according to CR and CP. However, the brace brackets only indicate CP underneath the maximisation. Does this mean anything?
Without knowing anything about the economic theory, I'd say that the maximization is done over CP. Is CR a function of CP? If so, it would make sense, but otherwise....
Some context and background material might help - orginal source?
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