Local analysis ◆ For the consumer i y={( q,):90andz≥C (q)} ◆ Utility maximization max m,+o,(r,) mi, xi st.m+px≤On+∑Q2·(P·9-c(q,) ◆ First order condition: 6 (x'=p for x>0Local analysis For the consumer i Utility maximization First order condition: {( , ) : 0 and ( )} Y z q q z c q j j j j j j j = −   , 1 max ( ) . . ( ( )) i i i i i m x J i i mi ij j j j j m x s t m px p q c q    = + +  +   −  ( ) for 0 i i i  x p x    = 