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C1=1C02 for 0C01 ( 0 elsewhere) and the borrowing/lending rate is r=10%. a. Find the coordinates of point B on the graph, and the equation
C1=1C02 for 0C01 ( 0 elsewhere) and the borrowing/lending rate is r=10%. a. Find the coordinates of point B on the graph, and the equation of the line connecting points W1 and W0. b. If Indifference curves are of the form C0C1= Const find the coordinates of point C. C. If initial endowment is located at point A, and y0=0.8, how much does this individual need to invest and/or borrow/lend in order to achieve point C ? Consider the Diagram below a by the equation C1=1C02 for 0C01 ( 0 elsewhere) and the
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