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U H andU W denote husband's and wife's respective utilities.H and W have resourcesI H andI W , respectively. They can redistribute these resources between
UH andUW denote husband's and wife's respective utilities.H and W have resourcesIH andIW, respectively. They can redistribute these resources between each other. Their threat points areTH andTW.
IH=4000,IW=2000,TH=120 andTW=90
Given the above information, the Nashproduct can be expressed as:
(a) (5880 - UW)(UW - 90) only
(b) (UH - 120)(5910 - UH) only
(c) None of the stated options are correct.
(d) both (a) and (b) are correct.
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