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Consider the pure exchange economy with 2 goods, good 1 and good 2, and two consumers, consumer A and consumer B.Consumer A is initially endowed
Consider the pure exchange economy with 2 goods, good 1 and good 2, and two consumers, consumer A and consumer B.Consumer A is initially endowed with 9 units of good 2 and no unit of good 1.Consumer B is initially endowed with 1 unit of good 2 and 10 units of good 1.The consumers have the following utility functions: uA(x1A,x2A)=5x1A+x2A; uB(x1B,x2B)=x1B+ln(1+x2B).At the Walrasian equilibrium, what will the price p1of good 1 be if the price of good to is p2=1
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