Question: Consider the framework used in class to analyze efficiency in production in a two-input two-good context (Edgeworth box). (a) Use the Edgeworth box graph to

Consider the framework used in class to analyze efficiency in production in a two-input two-good context (Edgeworth box).

(a) Use the Edgeworth box graph to illustrate a technically efficient point that is not also cost-effectively efficient.

(b) Use the Edgeworth box graph to illustrate a technically efficient point that is also cost-effectively efficient. You may draw this second point on the same graph as in (a).

(d) Is it possible to determine which points are allocatively efficient? Explain.

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