Re: Micro

Posted by kiran on
URL: http://discussion-forum.276.s1.nabble.com/Micro-tp5202707p5918004.html

Hi! Arpita
ans to Q1 is only 2 is pareto efficient. bcoz there is no way of improving utility of  one consumer without reducin others
(i) is nt pareto efficient bcoz if allocation is (18 , 16) and (6,6) then  the utility of individual 1 is 32-6 = 28 and utility of consumer 2  is 12*4 = 48(as earlier)