Question: .Assist me in solving the following problems. 1. Consider a competitive exchange economy with two consumers and two goods. Suppose that consumer i has initial

.Assist me in solving the following problems.

economy with two consumers and two goods. Suppose that consumer i has

1, 2 and j = 1, 2. His preferences are given by

1. Consider a competitive exchange economy with two consumers and two goods. Suppose that consumer i has initial endowments wi = (wj, w2), where w; > 0, i = 1, 2 and j = 1, 2. His preferences are given by the following utility function: U' = aln(x;) + (1 -a) In(x2), where 0

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