3. Demand function factor demand function(set): x=x(p, w) X=XEV(q: wx=pg-I(p, w)) propositions: it's homogenous of degree zero lecture 2 for Chu Kechen Honors Collegelecture 2 for Chu Kechen Honors College 3.Demand function • factor demand function (set): • proposition5: it’s homogenous of degree zero. X { ( ) : ( , )} =  = − x wx w V q pq p  x = x w ( , ) p