Re: DSE 2012

Posted by ViV on Jun 24, 2014; 5:13pm
URL: http://discussion-forum.276.s1.nabble.com/DSE-2012-tp7593497p7593501.html

Changes in endowment means redistribution of resources. If endowment changes then there could be possibility of pareto improvement in new allocation then the earlier allocation we had before the additional endowment.
In Monotonically transformation preferences will remain same. So it will not affect pareto optimal allocations.