MA107: Quantitative Methods (Mathematics) 201314

Answers for Exercises 1: Sets, functions, graphs, equations

Exercise 1. This should be standard. Note that R2+ is the non-negative quadrant which is the set
of points (x, y) where x 0 and y 0. The answers are given in Figure 1. (Also see Anthony &
Biggs sections 2.1 and 2.4.)
y

3x + 4y = 12

3x + 4y = 12

K1 and K1 R2+ in bold.

K2 (light and dark) and K2 R2+ (dark).

x2

O
2

y2

x2 + y 2 = 4

=4

K3 and K3 R2+ in bold.

K4 (light and dark) and K4 R2+ (dark).

x2 = 4y

y 2 = 4x

K5 and K5 R2+ in bold.

K6 and K6 R2+ in bold.

Figure 1: The sketches for Exercise 1. (If you are looking at this in colour, read yellow and blue
for light and dark respectively.)

Exercise 2. Again, this should be standard. Note that, for composite functions such as (f g),
we have (f g)(x) = f (g(x)). The answers follow. (Also see Anthony & Biggs sections 1.2, 1.3 and
worked examples 1.2, 2.1.)
Sketch: see Figure 2.
Equilibrium set: E = {(8, 4)}.
Supply function: q S (p) = 3p 4 for p 4/3 (and q 0).
Inverse supply function: pS (q) =

q+4
for q 0 (and p 4/3).
3

Demand function: q D (p) = 28 5p for 0 p 28/5 (and 0 q 28).

Inverse demand function: pD (q) =

28 q
for 0 q 28 (and 0 p 28/5).
5

Verify: We have
(pS q S )(p) = pS (q S (p)) =
and
(pD q D )(p) = pD (q D (p)) =

(3p 4) + 4
= p,
3
28 (28 5p)
= p.
5

S: 3p q = 4
28
5

D: 5p + q = 28

4
3

O
4

28

Figure 2: The sketch for Exercise 2. Note that all the labelled points, and no more, are needed for
a complete sketch. Of course, in this sketch, only the points in the non-negative quadrant, i.e. R2+ ,
make any economic sense.

Exercise 3. This is fairly similar to Exercise 2. The answers follow. (Also see worked example 2.5
in the Anthony & Biggs book.)
Sketch: see Figure 3.
Mathematically, we have S D = {(4, 1/3), (1, 2)}. But, only the second of these points
makes economic sense as we require that q 0. As such, economically, the equilibrium set is
E = S D = {(1, 2)}
FYI: Inverse supply function: pS (q) =

q+5
for q 0 (and p 5/3).
3

1
2
FYI: Inverse demand function: pD (q) = q 2 q + 3 for 0 q 1 + 10 (and 0 p 3).
3
3
Supply function: q S (p) = 3p 5 for p

5
(and q 0).
3

Demand function: q D (p) = 1 + 10 3p for 0 p 3 (and 0 q 1 + 10). Here, you

should explain why the economic restriction q 0 has led you to discard the negative square
root and make the restriction on p.

10
3

S: 3p q = 5

5
3

O
5 a

b
D: 3p + q 2 + 2q = 9

Figure 3: The sketch for Exercise

3. Note that

all the labelled points are needed for a complete

sketch including a = 1 10 and b = 1 + 10. Of course, in this sketch, only the points in the
non-negative quadrant, i.e. R2+ , make any economic sense.
Exercise 4. Functions and their inverses are discussed in section 2.2 of the Anthony & Biggs book.
See also worked example 2.3 (where the first line should refer you to Example 2.2 and not Example
2.3). As we are concerned with the graphs of the functions in R2+ , we take the domain and the
co-domain of the functions to be R+ .
y
for y R+ . See the sketch in Figure 4(a).
7

(b) The function f (x) = x2 2x + 3 has no inverse as we get x = 1 y 2 and this gives us two
values of x for each value of y such that 2 < y 3 (and no values of x for 0 y < 2), i.e. it does
not define a function. See the sketch in Figure 4(b).

(c) The inverse of f (x) = x7 is f 1 (y) = y 1/7 = 7 y for y R+ . See the sketch in Figure 4(c).
(a) The inverse of f (x) = 7x is f 1 (y) =

y = x2 2x + 3

y = 7x

y = x7

3
2
O

(a)

(b)

(c)

Figure 4: The functions from Exercise 1 sketched in R2+ . Notice that the parabola in (b) is most
easily sketched from the completed square form of the function, i.e. y = f (x) = (x 1)2 + 2.
We have seen that an inverse for (b) does not exist if we have a function from R+ to R+ . However, if
we split the domain into the parts of R+ where 0 x 1 and 1 x, we can find inverse functions.
Indeed, we find that:
If 0 x 1 we can have the inverse
x = f 1 (y) = 1

y 2,

as long as we have 2 y 3.
If x 1 we can have the inverse
x = f 1 (y) = 1 +
as long as we have y 2.

y 2,