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(2) Consider a pure exchange economy with two consumers and two goods. Consumer 1 has endoement w = (8, 2) and utility function 2/3 1/3 Ul (x) = x1 X2 1 Ennio Stacchetti November 3, 2021 Consumer 2 has endowment w2 = (4, 4) and utility function U2(x) = x1 x2 As we discussed in class, in the Edgeworth Box, the collection of all Pareto efficient allocations is a curve that goes from the lower left corner to the upper right corner of the box. At a Pareto efficient allocation where both consumers consume strictly positive amounts of good 1 and good 2 corresponds to a point strictly inside the Edgeworth Box (a feasible allocation) where the indifference curves of the two consumers are tangent. But, for Pareto efficient points on the edge of the box, this tangency condition need not be satisfied. (a) Find all Pareto efficient allocations where both consumers consume strictly positive amounts of good 1 and good 2. (b) Find a Walrasian equilibrium