 In a production economy, however, a similar argument will fail if individuals have different talents. The argument fails for two reasons. First, talents are not transferable though, of course, we may transfer money between agents. Second, when two individuals have unequal talents, they face different sets of feasible options. The more talented have better options and hence do better. The less talented may envy them. As a consequence, no efficient and envy-free equilibrium exists. 