Hatfield and McCoy burn with hatred for each other. They both consume corn whisky. Hatfield's utility function is UH = WH-W and McCoy's utility function is UM = WM - ÷Wiwhere W; is Hatfield or McCoy's consumption of corn whisky, measured in gallons. The sheriff has confiscated a total of 28 gallons of whisky that he could give back to them. If the sheriff wants to make them both as happy as possible and likes them both equally, the sheriff should give them each %3D 8.
Hatfield and McCoy burn with hatred for each other. They both consume corn whisky. Hatfield's utility function is UH = WH-W and McCoy's utility function is UM = WM - ÷Wiwhere W; is Hatfield or McCoy's consumption of corn whisky, measured in gallons. The sheriff has confiscated a total of 28 gallons of whisky that he could give back to them. If the sheriff wants to make them both as happy as possible and likes them both equally, the sheriff should give them each %3D 8.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Transcribed Image Text:Hatfield and McCoy burn with hatred for each other. They both consume corn whisky. Hatfield's utility function is
UH = WH--W and McCoy's utility function is UM = WM - -Wi where W; is Hatfield or McCoy's consumption of
%3D
corn whisky, measured in gallons. The sheriff has confiscated a total of 28 gallons of whisky that he could give back
to them. If the sheriff wants to make them both as happy as possible and likes them both equally, the sheriff should
give them each
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