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Anne and Ben consume only apples and bananas. They trade with each other and there is no production. They both have convex preferences. Anne's original
Anne and Ben consume only apples and bananas. They trade with each other and there is no production. They both have convex preferences. Anne's original endowment of apples and bananas is the same as Ben's. (a) At the original endowment their marginal rates of substitution must be the same. (b) In a competitive equilibrium, they must consume identical consumption bundles. (c) None of the options. (d) If they have identical utility functions, then the initial allocation is Pareto efficien
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