2. Consider an economy in which there are 1,000 workers. Each worker is endowed with 200 units of the consumption good when young and nothing when old. Half of the workers consume 60% of their endowment when young, the other half only consume 40% of their endowment when young. Let the (gross) return offered by banks on deposits be 1.03, but workers need to pay a fixed fee of 3 goods in order to use a bank. Let the stock of fiat money be constant over time, with M = 50,000. (a) What is the aggregate level of savings in the economy? (20% of total question mark) (b) Write down the money market-clearing condition and compute the price level in this economy. (30% of total question mark)