1. Joelle, a vegan, consumes avocados and butternuts. Her demand functions for avocados and butternuts are = /2 and = /2, respectively. The unit price per avocado is R10 and per butternut is R20. She is endowed with = (,)=(14,15). Calculate the value of Joelle's endowment (i.e. her non-labour income) and prove that the sum of her net demands is zero.

2. If both pepperoni and anchovies are 'bads', will the indifference curve have a positive or a negative slope? Briefly motivate.