1. a. Write the Kuhn-Tucker conditions and find the maximum value of ?(?, ?) = ? − (1/2?^2) + ?^2 subject to ?(?, ?) = (1/2?^2) + ?^2 ≤ ? and ? ≥ 0, ? ≥ 0 , find the constrained critical values of x and y (when ? ∗ ≠ 0).
b. Form the maximum value function and show that (??/??) = ? ∗ .
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