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Question 8 1 pts Jack Sparrow and his wife consume wine (W) and books (B). Jack Sparrow's utility function is Ujack(W, B) - B. His
Question 8 1 pts Jack Sparrow and his wife consume wine (W) and books (B). Jack Sparrow's utility function is Ujack(W, B) - B. His wife's utility function is Uwife(W, B) - W. Jack's endowment is 26 bottles of wine and 12 books and Jack's wife's endowment is 11 bottles of wine and 17 books. In the Edgeworth box, Jack's consumption is measured from the lower left corner, and his wife's from the upper right corner of the box; the wine is on the horizontal axis and books are on the vertical axis. Therefore, in an Edgeworth box for Jack and his wife, there is only one Pareto Optimal allocation that is located in the top left corner of the box. True or False? Please submit 1 if True and O if False
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