please show all workings and explain thoroughly

1.a) (15 points) Use the logarithmic model (U=In(C1)+In(C2)) from Chapter 3 to answer this multiple choice problem. In the two- period logarithmic model reviewed in class, the change in the Current Account caused by a temporary positive INCOME (endowment) shock is the change caused by a permanent positive INCOME shock. (a) greater than (b) smaller than (c) equal to (d) None of the above