Please refer to photo Hatfield and McCoy burn with hatred for each other. They both consume corn whisky. Hatfield's utility function isUH = WH--W and McCoy's utility function is UM = WM - -Wi where W; is Hatfield or McCoy's consumption of%3Dcorn whisky, measured in gallons. The sheriff has confiscated a total of 28 gallons of whisky that he could give backto them. If the sheriff wants to make them both as happy as possible and likes them both equally, the sheriff shouldgive them each

Given:- Hatfield utility function: UH=WH-1/8W2M McCoy utility function: UM=WM-1/8W2H Total…

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.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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