Derive a co A A 5. Consider a two-consumer economy in which wA = (1,2), wB=(2, 2), u^(x₁, x2) = x₁³x2 B B and u²(x,x) = x, ³x₂5 (a) Illustrate this economy in an Edgeworth box. (b) Derive a competitive equilibrium for this economy. 1/J

ENGR.ECONOMIC ANALYSIS
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Derive a Co
5. Consider a two-consumer economy in which wA = (1,2), wB=(2, 2), u^(x₁,x) = x₁³x₂
and u²(x,x) = x, ³x₂²
(a) Illustrate this economy in an Edgeworth box.
(b) Derive a competitive equilibrium for this economy.
11_JJ)
Transcribed Image Text:Derive a Co 5. Consider a two-consumer economy in which wA = (1,2), wB=(2, 2), u^(x₁,x) = x₁³x₂ and u²(x,x) = x, ³x₂² (a) Illustrate this economy in an Edgeworth box. (b) Derive a competitive equilibrium for this economy. 11_JJ)
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