I don't understand why the answer is (B), plz show me the process. Suppose wi = wf +w} are represented by u^(x1, x2) = x1x3 and uB (x1, x2) = xx2. (For brevity, I left out the superscript A's and B's...


I don't understand why the answer is (B), plz show<br>me the process.<br>Suppose wi = wf +w}<br>are represented by u^(x1, x2) = x1x3 and uB (x1, x2) = xx2. (For<br>brevity, I left out the superscript A's and B's above.) Write the<br>equation of the contract curve (in terms of A's coordinates).<br>= 1 and w2 = w + w<br>1. Preferences<br>%3D<br>A) x = x4<br>4x4<br>1+3xf<br>2x<br>1+x<br>D) x = 4x4<br>B) x<br>C) x =<br>

Extracted text: I don't understand why the answer is (B), plz show me the process. Suppose wi = wf +w} are represented by u^(x1, x2) = x1x3 and uB (x1, x2) = xx2. (For brevity, I left out the superscript A's and B's above.) Write the equation of the contract curve (in terms of A's coordinates). = 1 and w2 = w + w 1. Preferences %3D A) x = x4 4x4 1+3xf 2x 1+x D) x = 4x4 B) x C) x =

Jun 08, 2022
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