Explain and Answer the following questions below, I hope you can answer it with utmost honesty.

Francis Ysidro Edgeworth (1845 - 1926) Francis Edgeworth was a highly influential figure in the development of Neo-Classical Economics. He was also the first to apply certain formal mathematical techniques to individual decision making in Economics. He made use of "economical calculus" which investigates the equilibrium of a system of hedonic forces each tending towards maximum individual utility. Using "economical calculus" (calculus of pleasure), he began by asserting that every economic agent is activated only by self-interest. Such a situation can only be viewed from two aspects according to whether agents act with or without consent of others affected by his actions : thus a war (without consent) or a contract (with consent) can result. War can be illustrated by a dealer lowering the price without the consent of his rival. Contract, on the other hand, is shown by a set of cooperatives who agree to distribute the joint produce by assigning to each a certain fraction of his sacrifice. The articles of contract are, in this case, the amount of sacrifice to be made by each, and the principle of distribution. This notion of contract was also illustrated by the Edgeworth box diagram which shows the contract curves of two trading partiesations. The contract curve shows the different points of tangencies between the indifference curves of the trading partners which denote points at which the parties would willingly exchange, the price-taking equilibrium, in a perfectly competitive market. This diagram has been used as a tool of analysis in international trade. The indifference curve, which was used to explain the contract curve, is a locus of points showing the different combinations of two goods that give the same level of utility to the consumer. A set of indifference curves is called an indifference map which depict consumer preferences. Thus, the contract curve, showing the different points of tangencies of the community indifference curves of two trading nations, depict a state of equilibrium for the trading countries since both of them have maximized their welfare through a contract; that is, both agree at a price at which they are able to exchange their products.The Edgeworth Conjecture According to this line of thinking, the case of an economy shrinks to set of competitive equilibria as the number of agents in the economy gets larger. In the case of perfect competition where there is an infinite number of subjects, the contract becomes identical to "equilibrium.' Equilibrium is attained when the existing number of contracts can neither be varied without recontract with the consent of existing parties, nor by recontract within the field of competition. The only way of resolving the indeterminacy of contract is to appeal to the utilitarian principle of maximizing the sum of the utilities of traders over the range of final settlements. Thus Edgeworth introduced the generalized utility function: U(x y.z) and that of the indifference curve. 38 Edgeworth's findings show that trade between two people can be predicted within certain ranges but the exact outcome is indeterminate. If there is a sufficient number of traders, the core of the market will shrink such that the point of final settlement is determinate. In his book, "Mathematical Psychics", he criticized Jevon's theory of exchange showing that under a system of "recontracting", there will be many solutions, an indeterminacy of contract.A. Francis Ysidro Edgeworth's concepts: 1. Describe and explain how the principle of self- interest works under a.) war, b.) contract. 2. Understand and discuss how the contract curve explains trade between two countries. 3. Explain consumer preferences using indifference curves