1.

Let (a, b) = (100, 2) and c = 2. Using a 5% discount rate, answer the following questions:What is the equilibrium consumption in each period without resource shortage?What is the equilibrium consumption in each period if S = 100?What is the equilibrium consumption in each period if S = 80?What is the equilibrium consumption in each period if S = 60?​

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ANSWER:

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