Business, 17.12.2019 23:31 kellynadine02
Bob, carol, and ted are residents of a tiny commune in darkest peru. bob currently has a utility level (ub) of 55 utils, carol's utility (uc) is 35 utils, and ted's utility(ut) is 10 utils. alice, the benevolent ruler of the commune, has discovered a policy that will allow her to redistribute utility between any two people she chooses in a util-to-util transfer. if alice believes the social welfare function is given by w= ub+ uc + ut, what is the highest level of welfare that the commune can achieve?
a.100
b. 33.33
c. 50
d. 25
Answers: 2
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Bob, carol, and ted are residents of a tiny commune in darkest peru. bob currently has a utility lev...
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