Two - Time model

For agency A, C1=84.8 C2=132.5 utility= 9.33 Saving is - 4.8

For agency B, C1=102 C2=159.38 utility=9.70 Saving is 30

Suppose that credit markets are subject to severe credit constraints and that agents cannot borrow at all: S 0. What is the maximum first-period consumption that is feasible for agent A? What is the maximum first-period consumption that is feasible for agent B.

Suppose that credit markets are subject to severe credit constraints and that agents cannot borrow at all: S 0. What is the maximum first-period consumption that is feasible for agent A? What is the maximum first-period consumption that is feasible for agent B.