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Consider the intertemporal utility function U = log Ct + Blog Ct+1, (1) where Ct is consumption in period t. The representative consumer has access to a production technology Yt = F(Kt). where Yt is output, K, is the capital stock, and F(.) is a production function with standard properties. The capital stock fully depreciated during the production process. (a) Find the equation for the dynamics of the capital stock. (b) Derive the Euler equation and provide an interpretation