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Need Help with my E321 Intermediate Microeconomics Homework


Question - E321: Intermediate Microeconomics – Fall2013
Homework Assignment 5
Due: Thursday, November 21 (in class)

Remark: This a long homework assignment. For this reason you can get extra points. General
Equilibrium and Welfare Economics are two important topics in Economics. The fundamental
theorems of welfare economics are particularly interesting because we can use them to think in
a systematic way about the role of markets and governments.

Problem 1: (3 points) Pure Exchange Economy
Consider an economy with two consumers (� and �) and only two goods (1 and 2). The utility
functions are given by:
���(�1�,� ...Read More

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