Question: (a) Explain the meaning of the Weak Axiom of Revealed Preference (WARP).

(b) At initial prices \(p_{i}^{0}\), \(i=1,...,n\) Bert chooses to consume quantities \(q_{i}^{0}\), \(i=1,...,n\). Prices change to \(p_{i}^{1}\), \(i=1,...,n\), Bert is Slutsky-compensated and he chooses to consume quantities \(q_{i}^{1}\), \(i=1,...,n\). His behaviour satisfies WARP. Are the following statements true or false? Briefly justify your answers.

1. \(\sum\limits_{i=1}^{n}{p_{i}^{0}\left( q_{i}^{1}-q_{i}^{0} \right)}\ge 0\)
2. \(\sum\limits_{i=1}^{n}{p_{i}^{1}\left( q_{i}^{1}-q_{i}^{0} \right)}\ge 0\)

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