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General Equilibrium 1 (30 points) Consider, U1(x1, y1) = 4(x191)5 U2(2, y2) = Inx2 + 4lny2 W1 = (6, 4) and W2 = (3, 6)
General Equilibrium 1 (30 points) Consider, U1(x1, y1) = 4(x191)5 U2(2, y2) = Inx2 + 4lny2 W1 = (6, 4) and W2 = (3, 6) a. Characterize the Pareto efficient allocations and contract curve (10 points). b. Which allocations are in the core (5 points)? c. Find the Competitive /Walrasian equilibrium for this problem (10 points). d. Is the answer of c in the core (5 points)
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