Corner solution

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A corner solution is a special solution to an agent's maximization problem in which the quantity of one of the maximized arguments is zero. Whilst a general solution will lie in the interior at the point of tangency between the objective function and the constraint, the corner solution does not exhibit this property.

Alternatively, a corner solution is a solution to a minimization or maximization problem where the solution is not in the domain. Instead, the solution is a corner solution on an axis where either x or y is equal to zero. For instance, in economics, if the maximal utility of two goods is achieved when the quantity of goods x and y are (-2,5), and the utility is subject to the constraint x and y are greater than or equal to 0 (you cannot consume a negative quantity of goods) as is usually the case, then the actual solution to the problem would be a corner solution where x=0.

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