A Foundation for Logarithmic Utility Function of Money

This paper presents a study on the optimization problem of consumer’s choice constrained to single time interval. In this problem, is made over set perishable goods such that they do not retain value at end period. Money has been introduced as only means available store for future. Thus, consumer utility measured possible combinations consumed during period and money held Additionally, simple conditions are assumed functions given by: (1) Existence total additively separable with respect components money; (2) continuity derivatives up second degree; (3) non-uniqueness matrix obtained by differentiating system equations condition optimum. The article shows how requirement homogeneity limits expressions function money. One them frequently used logarithmic function.