Cake eating problem
As the set of feasible solutions is compact and the utility function is
strictly concave there is a unique solution to the cake eating problem. We
want to apply the cake eating problem for logarithmic type utility functions
as well. Strictly speaking we cannot use this function as it is undeÖned at
x= 0 .One can observe that in this case the result still holds. One can use
the deÖnition ln 0$ ∞.