Now suppose u(C1,C2,C3)=min{C1,C2,C3} and Y1=Y2=Y3=Y. (e) What is the optimal choice of consumption in terms of income, and why? (5 points) (f) What happens to your answer to (e) if financial markets do not exist (i.e., saving/borrowing is not allowed)? (5 points) (g) Compare consumer welfare between (e) and (f) and derive a condition on the interest rate that the presence of financial markets is welfare improving (8 points). (h) Suppose the utility function takes the form of u(C1,C2,C3)=max{C1,C2,C3}. Then what is the optimal choice of consumption in terms of income ( 5 points)? Now suppose u(C1,C2,C3)=min{C1,C2,C3} and Y1=Y2=Y3=Y. (e) What is the optimal choice of consumption in terms of income, and why? (5 points) (f) What happens to your answer to (e) if financial markets do not exist (i.e., saving/borrowing is not allowed)? (5 points) (g) Compare consumer welfare between (e) and (f) and derive a condition on the interest rate that the presence of financial markets is welfare improving (8 points). (h) Suppose the utility function takes the form of u(C1,C2,C3)=max{C1,C2,C3}. Then what is the optimal choice of consumption in terms of income ( 5 points)