3. [35 pts] Consider an economy with 100 identical households and 100 identical rms. Each household is endowed with one unit of time. Half of 7. Page 3 of 3 pages the households are endowed with equal shares of rm, while the rat are endowed with no rm shares. A household's utility is u(rr,r) = 2111 xr3, where a: is consumption of goods, r = 1 l is leisure time and I is the household's labour supply. Each rm hires households to produce goods according to technology 3; = Li)\