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Irene and Orville live in an isolated valley and trade with no one but each other.They consume only cantaloupes and grapefruits.Irene has an initial endowment of 5 cantaloupes and 12 grapefruits.Orville has an initial endowment of 19 cantaloupes and 25 grapefruits.For Irene, the two goods are perfect substitutes, one for one.For Orville, they are perfect complements, one for one.At all Pareto efficient allocations,
A) Irene must consume at least 17 grapefruits.
B) Irene must consume at least 13 grapefruits.
C) Orville must consume 21.50 cantaloupes.
D) the slopes of the two traders' indifference curves are the same.
E) Orville must consume all of the cantaloupes.
On Jun 03, 2024