Let's consider an example of an economy with only one good: burger 1) There are two people, John and Bob, and six pieces of burger. No burger is allowed to be thrown away, and each person must get a whole number of burgers (no fractions). Each person's preference ordering over burger allocations depends only on the number of burgers they personally get in that allocation. If the allocation in which John has all six pieces of buirger is Pareto efficient, what precisely would that tell us about each person's preference ordering and why?

Let's consider an example of an economy with only one good: burger 1) There are two people, John and Bob, and six pieces of burger. No burger is allowed to be thrown away, and each person must get a whole number of burgers (no fractions). Each person's preference ordering over burger allocations depends only on the number of burgers they personally get in that allocation. If the allocation in which John has all six pieces of buirger is Pareto efficient, what precisely would that tell us about each person's preference ordering and why?

Microeconomic Theory

12th Edition

ISBN:9781337517942

Author:NICHOLSON

Publisher:NICHOLSON

Chapter3: Preferences And Utility

Section: Chapter Questions

Problem 3.15P

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