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If someone were to come along and reallocate (redistribute) the endowments so that they were exactly the same for everyone, what do you think would happen? From a social perspective, how would you define the “ideal” allocation (distribution of the n goods) in this economy? That is, what makes one outcome “best” ? What is the best way of achieving this outcome/allocation? What more would you want to know about this economy in order to answer this?
It is not possible for the economy to stay stable in case of reallocation and redistribution ofendowments to an extent that become same for everybody as this would lead to imbalance inthe assets…
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