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Consider the simple static macroeconomic competitive equilibrium model: a representative consumer decides on consumption and leisure, and thus labor supply, a representative firm decides on

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Consider the simple static macroeconomic competitive equilibrium model: a representative consumer decides on consumption and leisure, and thus labor supply, a representative firm decides on labor demand and production, and the government has to respect a budget con- straint. (a) Clearly write down the representative consumer's problem and the necessary assump- tions. (b) Clearly write down the representative firm's problem and the necessary assumptions. (c) Clearly definite the competitive equilibrium for this economy. (d) Graph the competitive equilibrium and determine the endogenous variables in the (same) graph

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