Question 5 (30 points) - Capital and Money. Imagine an OLG eCOnomy where the government has to build roads and bridges totalling an amount of Gt units of the con sumption good each period. The government may nance its purchases printing money with a rate of expansion of the at money supply of z 2 1. Denote governement consumption per capita by g: = Gt/Nt where N: is the number of people in the generation born at time t. PopulatiOn is grows constantly at rate 11. Each young person receives y amounts of the good as labor income. Besides money, the agent may invest in capital [6. Each unit invested in capital as young will become f (k) when old. 1. Find the individual's budget constraints when young and when old. (1 point) [TIP: Government purchases 9 are not in the agent's BC] 2. State the following: (a) Total GDP at time t; (b) Feasibility Constraint; (c) Government's budget constraint; ((1) Money Market Clearing Condition