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There are two goods (1 and 2) and two consumers (A and B). Endowments are 3A = (3. 5) and 23 = (3, 3). Sketch
There are two goods (1 and 2) and two consumers (A and B). Endowments are 3A = (3. 5) and 23 = (3, 3). Sketch the Edgeworth box and indicate the endowment point. Suppose now that 1 2 . 1 2 1 2 1 2 . preferences are as follows. uA(x 14,): A) mm{x A,x A} and uB(x 3,2: 3) x B + 2x 3' Find the competitive equilibrium by a) drawing consumer A's and B's indifference curves and b) indicating A AA p1 X,X,T A sz
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