If C1= 30C, C2 = 60C, C3 = 90C and J1 = 50J, J2 = 70J, J3 = 80J; a)Derive the transformation curve. b)Superimpose the Edgeworth box diagram on the transformation curve, and determine the general equilibrium and Pareto optimal point of production and distribution.

If C1= 30C, C2 = 60C, C3 = 90C and J1 = 50J, J2 = 70J, J3 = 80J; a)Derive the transformation curve. b)Superimpose the Edgeworth box diagram on the transformation curve, and determine the general equilibrium and Pareto optimal point of production and distribution.

Survey Of Economics

10th Edition

ISBN:9781337111522

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter22: Economies In Transition

Section: Chapter Questions

Problem 14SQ

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If C1= 30C, C2 = 60C, C3 = 90C and J1 = 50J, J2 = 70J, J3 = 80J;

a)Derive the transformation curve.

b)Superimpose the Edgeworth box diagram on the transformation curve, and determine the general equilibrium and Pareto optimal point of production and distribution.

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