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Fig.1: Edgeworth box diagram ( iso-quants, contract curve). Fig.2: PPF ( Production Possibility Frontier). Y 2. O 2. Y 2 3. P 1. Y 2 2. Q 3. Y 2 1. P 2. Q 2. K. Y 1 3. Y 2 2. Y 2 1. Q 1. Y 1 2. P 3. Y 2 3. Y 1 1. O 1. Y 1 1. Y 1 2. Y 1 3. Y 1. L. Y 2.

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  1. Fig.1: Edgeworth box diagram ( iso-quants, contract curve) Fig.2: PPF ( Production Possibility Frontier) Y2 O2 Y23 P1 Y22 Q3 Y21 P2 Q2 K Y13 Y22 Y21 Q1 Y12 P3 Y23 Y11 O1 Y11 Y12 Y13 Y1 L

  2. Y2 Fig.3 : Supply of goods　（財の供給） Y1 and Y2 are determined at the tangency point of line with slope of p and PPF P Y2* p Y1* Y1 0

  3. Fig.4: Demand for factors （生産要素市場の均衡） once p is given, then w and r are determined Ls O2 K2d Y2* Q Ks Y12 Y1* K1d w*/r* O1 L1d L2d

  4. Fig.5 : Demand for goods　（財の需要） Edgeworth Box Diagram for Consumption when p=p+, excess demand for Y1 and excess supply of Y2. hence, p will rise and tangency point P+ will move to the south and east, like to point P Y2 A P+ Y2+ a (r+K2+w+L2) P P+ c (r+K1+w+L1) Y1+ Y1 0 b

  5. Fig.6 : Equilibrium in Goods Market (財市場の均衡） For the common p*, demand for good 1 equals to the supply of good 1, and demand for good 2 equals to the supply of good 2. Y2 a Y22d P Y2S Y22d Y21d P* P* Y1S Y1 0 Y11d

  6. Y2 Fig.7 : Equilibrium in Goods Market for a case of single individual rK+wL P Y2d=Y2s P* Y1 0 Y1d=Y1S

  7. Y2 Fig.8 : Equilibrium (monopoly) (first industry is monopolized, while the second industry is competitive.) M C Uc Pm Um mr Y1 0

  8. Fig.9: Rybczinski Theorem (Graphical exposition) O2 O2’ Y1* Y2* Q Q’ w*/r* O1 ⊿ L

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