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Suppose that at time 1, before the household consumes c1, they are not aware that the pandemic will take place. If there had been no
Suppose that at time 1, before the household consumes c1, they are not aware that the pandemic will take place. If there had been no pandemic y1 = y2 = 100. Compute c1 and c2, by replacing c2 = c1 into the intertemporal budget constraint
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