"As long as preferences are Convex, every Pareto efficient allocation can be supported as competitive equilibrium" Explain using edge worth box. Pls help me with this question
True but preferences can be non-convex and not violate the First welfare theorem provided that the degree of non-convexity reflected in their Indifference curve does not cross the budget line
![[Microeconomics II] Second Welfare Theorem | Convex Preferences | Non Convex Preferences | 11 |](/img/n.gif)
so very helpful. Thanks!!!!
Really helpful I wish you could go beyond that to teach advanced micro economics
Really helpful!!!
absolutely love this!
"As long as preferences are Convex, every Pareto efficient allocation can be supported as competitive equilibrium" Explain using edge worth box. Pls help me with this question
True but preferences can be non-convex and not violate the First welfare theorem provided that the degree of non-convexity reflected in their Indifference curve does not cross the budget line