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5-22 Competitive Equilibrium Suppose that Cookie Monster's preferences are represented by u(C, I) = log(C + 1) + 1 and his production function is given

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5-22 Competitive Equilibrium Suppose that Cookie Monster's preferences are represented by u(C, I) = log(C + 1) + 1 and his production function is given by zF (K, Nd ) = K= (Ndji with K = 16. The government spending is G = 1 and time allotted is h =4. Find the equilibrium in this econ- omy. Ans (C, I, N$, NO, T, Y) = (1, 3, 1, 1, 1, 2) and

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