Imagine a trading scenario involving two individuals, A and B, with two commodities, x1 and x2. Both A and B view these goods as perfect complements, with their utility functions defined as: uA = min{x1,A, x2,A} and uB = min{x1,B, x2,B} (where x1,A represents the quantity of good x1 that A owns, etc.). A has an initial allocation of (7, 1) and B has (1, 7).

a) Draw an Edgeworth box diagram for this setup, ensuring all axes are accurately labeled. Indicate the starting allocations of each individual.

b) On the diagram you've created in a), plot the indifference curve for both A and B that passes through their initial allocations. Make sure to label which curve corresponds to which individual. Can you determine if the starting allocations are Pareto optimal? Provide a straightforward reasoning.

c) Given price ratios p1 = 5 and p2 = 1, does a competitive equilibrium exist in this scenario? If yes, outline the distribution of goods for both individuals in this equilibrium and provide your rationale. If not, explain the reason.