1 Nonseparable utility A representative household enjoys utility from consumption and disutility from labor supply. He/she maximizes Et E Bi ( Ctti (1 - Ntti ) " ) 1-o, (1) j=0 subject to the budget constraint: Ct+j + Butj = Wt+j Nt+j + rtti Btti-1, (2) where Ct, wt, rt, and Nt represent consumption, the real wage, the rate of return (> 1), and labor supply in period t, respectively, and Be represents riskless bond holdings at the end of period t.1. Define Lagrangian. 2. What are the variables that are optimized or control variables