George, a longtime hotel manager for holiday inn, was meeting with sally, a new front-desk manager, and telling her about his recent decision not to fire a front desk employee about whom several guests had complained. george discussed the four stages of the decision process. he said, "i first identified the problem, and then i gathered alternative solutions. i evaluated each choice and selected a solution. i then implemented my decision to not fire the employee but instead to provide him with additional training. finally, i followed up with an evaluation of the solution i'd chosen." george is using the process.

David consumes two things: gasoline (g) and bread (b). david's utility function is u(g, b) = 10g^0.25 b^0.75. use the lagrange technique to solve for david's optimal choices of gasoline and bread as a function of the price of gasoline, p_g, the price of bread, p_b, and his income m. with recent decrease in the price of gasoline (maybe due to external shock such as shale gas production) does david increase his consumption of gasoline? for david, how does partial differential g/partial differential p_g depend on his income m? that is, how does david's change in gasoline consumption due to an increase in the price of gasoline depend on his income level? to answer these questions, find the cross-partial derivative, |partial differential^2 g/partial differential m partial differential p_g.