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2. Consider an economy where individuals are endowed withy units of the consumption good when young and zero units of the consumption good when old.
2. Consider an economy where individuals are endowed withy units of the consumption good when young and zero units of the consumption good when old. Suppose the population is growing over time at a constant rate. In particular, assume that Nt+1= nNtfor all t 2 0 where n > 1. If it makes it easier, you can assume n is equal to a number larger than 1 (e.g. set n = 2). 1. Find the planner's feasible set in period it (do not assume a stationary equilibrium). 2. Assuming a stationary equilibrium, write down and explain the planner's feasible set. 3. Draw a figure depicting the Golden Rule allocation. 4-. How does an increase in n affect the planner's optimal choice? That is, how do ( CT: C)change? Support your
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