IGNOU MEC 101 SOLVED ASSIGNMENT 2025 2026

Ques 1.

. a. Consider a pure-exchange economy of two individuals (A and B) and two goods (X and Y) Individual A is endowed with 5 units of good X and 3 units of good Y, while individual B with 3 and 4 units of goods X and Y respectively. Assuming utility functions of individuals A and B to be UA=XAYA^2 and UB=XBYB where Xi and Yi for i= {A, B} represent individual i's consumption of good X and Y respectively, what will be the set of Pareto optimal allocation in this economy?

Ques 2.

Determine the conditions that need to be fulfilled by an allocation to be termed as Pareto efficient allocation.

Ques 3.

 Consider a Cobb-Douglas utility function

U (X, Y) = X^1/2 Y^1/2
Where X and y are the two goods that a consumer consumes at per unit prices of Px and Py respectively. Assuming the income of the consumer to be ₹M, determine:

Ques 4.

Marshallian demand function for goods X and Y.

Ques 5.

 Indirect utility function for such a consumer.

Ques 6.

The maximum utility attained by the consumer where Px= ₹ 5, Py= ₹ 5 and M= ₹ 5000.
d. Derive Roy’s identity.

Ques 7.

If U (X₁, X₂) = 10x₁⁰³ x₂⁰⁷, M=200, p₁=5 and p₂=2, set up the lagrange function and derive the simplest form of 
 

Ques 8.

 Distinguish between Strategic (or Normal Form) and Extensive Form Games.

Ques 9.

Solve the following game using iterated elimination of strictly dominated strategies.

Ques 10.

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Ques 11.

Solve the following game using iterated elimination of strictly dominated strategies:

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