2. Suppose that Anna is indifferent between 2 cellphones and 4 computers and George is indifferent between 1 computer and 2 cellphones. Anna: 2 cellphones George: 2 cellphones = = 4 computers 1 computers 1. Find two examples of a trade between Anna and George that makes both better off? 2. Should Anna give computers or cellphones to George? If George gives Anna 6 cellphones and receives 2 computers. If this a fair trade? Explain your answer.

2. Suppose that Anna is indifferent between 2 cellphones and 4 computers and George is indifferent between 1 computer and 2 cellphones. Anna: 2 cellphones George: 2 cellphones = = 4 computers 1 computers 1. Find two examples of a trade between Anna and George that makes both better off? 2. Should Anna give computers or cellphones to George? If George gives Anna 6 cellphones and receives 2 computers. If this a fair trade? Explain your answer.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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