An economy is populated with two consumers, indexed by j = A, B, who consume two...

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An economy is populated with two consumers, indexed by j = A, B, who consume two goods x₁ and x₂. The first consumer's endowment of the two goods is (w₁,w₂) = (2,5), and the second consumer's endowment is (w, w2) = (7,4), where w/ denotes consumer j's endowment of good i. a. Suppose the preferences of the two consumers are described by the utility functions U₁(x) = xfx and U₂(x) = (x)³(x)², where x denotes consumer j's consumption of good i. Find the equation of this economy's contract curve (as a function of only the variables x4 and x2). An economy is populated with two consumers, indexed by j = A, B, who consume two goods x₁ and x₂. The first consumer's endowment of the two goods is (w₁,w₂) = (2,5), and the second consumer's endowment is (w, w2) = (7,4), where w/ denotes consumer j's endowment of good i. a. Suppose the preferences of the two consumers are described by the utility functions U₁(x) = xfx and U₂(x) = (x)³(x)², where x denotes consumer j's consumption of good i. Find the equation of this economy's contract curve (as a function of only the variables x4 and x2).

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