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An economy contains two people, Cindy and Ralph, and two goods, apples and oranges. Cindy likes apples and dislikes oranges (the more oranges she has,
An economy contains two people, Cindy and Ralph, and two goods, apples and oranges. Cindy likes apples and dislikes oranges (the more oranges she has, the worse off she is), and Ralph likes oranges and dislikes apples (the more apples he has, the worse off he is). Which of these distributions is Pareto efficient? Cindy has all the oranges, and Ralph has all the apples. Cindy has half of the oranges and half of the apples, and Ralph has half of the oranges and half of the apples. Cindy has all but one of the apples and has one of the oranges, and Ralph has all but one of the oranges and has one of the apples. O Cindy has all the apples, and Ralph has all the oranges
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