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Draw an edgeworth box diagram

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Q: Jane has 11 liters of soft drinks and 11 sandwiches.? Bob, on the other? hand, has 9 liters of soft drinks and 9 sandwiches. With these? endowments, Jane's marginal rate of substitution? (MRS) of soft drinks for sandwiches is 4 and? Bob's MRS is equal to 3

Draw an Edgeworth box diagram to show whether this allocation of resources is efficient. If it is explain why. If it is? not, what changes will make both parties better? off?

Reference no: EM132109251

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