Multiple Choice
The second welfare theorem:
A) states that a Pareto- optimal allocation can be reached via a competitive equilibrium.
B) does not allow for redistribution of income.
C) is a corollary of the first welfare theorem.
D) implies that not all Pareto- optimal allocations can be attained.
Correct Answer:

Verified
Correct Answer:
Verified
Q38: A per- unit tax placed on the
Q39: The efficiency in production requires:<br>A)MRT is equal
Q40: Consider an economy with two consumers, consumer
Q41: Which of the following is a necessary
Q42: In a general equilibrium model, an allocation
Q44: If a given allocation in Edgeworth box
Q45: If, in a general equilibrium framework, MRT
Q46: An economy's product- mix is said to
Q47: The analysis of general equilibrium had revealed
Q48: In an exchange economy, the Walrasian auctioneer