HW_06 - (c) allocations preferred to the endowment by both...

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Economics 11, Winter 2010; HW Assignment #6 Due 3:15PM Thursday Feb 18 For each of the following make a carefully drawn and labeled Edgeworth Box sketch, including the requested information for the two consumers. 1. Utility functions and endowments for the two consumers are u 1 ( x, y ) = xy , endowment = (3 , 6) u 2 ( x, y ) = xy 2 , endowment = (7 , 4) Sketch the Edgeworth Box, showing (a) the endowments and indifference curves through the endowments (b) for each consumer: consumptions preferred to the endowment (c) allocations preferred to the endowment by both consumers 2. Utility functions and endowments for the two consumers are u 1 ( x, y ) = min { x, y } , endowment = (2 , 6) u 2 ( x, y ) = x + y , endowments = (6 , 4) Sketch the Edgeworth Box, showing (a) the endowments and indifference curves through the endowments (b) for each consumer: consumptions preferred to the endowment
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Unformatted text preview: (c) allocations preferred to the endowment by both consumers 3. Utility functions and endowments for the two consumers are u 1 ( x, y ) = xy , endowment = (3 , 6) u 2 ( x, y ) = xy 2 , endowment = (7 , 4) Sketch the Edgeworth Box, showing (a) all ecient allocations (b) all ecient allocations that each consumer thinks are better than his/her endowment 1 4. Utility functions and endowments for the two consumers are u 1 ( x, y ) = min { x, y } , endowment = (2 , 6) u 2 ( x, y ) = x + y , endowments = (6 , 4) Sketch the Edgeworth Box, showing (a) all ecient allocations (b) all ecient allocations that each consumer thinks are better than his/her endowment 2...
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This note was uploaded on 04/01/2010 for the course ECON 180052110 taught by Professor Mcdevitt during the Winter '09 term at UCLA.

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HW_06 - (c) allocations preferred to the endowment by both...

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