Doubt

Posted by SoniaKapoor on Jun 12, 2014; 6:36am
URL: http://discussion-forum.276.s1.nabble.com/Doubt-tp7592448.html

Suppose u1= min{x1,y1} and u2=x2+y2, e 1 = { 100,100} and e2={50,0}. Find the competitive equilibrium of an economy.

a) x 1,y1 = 100, 50 and x2,y2 = 50,50

b) x 1,y1 = 125, 100 and x2,y2 = 25,0

c) x 1,y1 = 50, 50 and x2,y2 = 100,50

d) x 1,y1 = 100, 100 and x2,y2 = 50,0