1. Basic overlapping generations model Consider the basic overlapping generations model we studied in lecture. We saw that the capital stock in intensive form k, satisfies the difference equation = Itty s [ f' ( hit1 ) [f ( ke ) - kof ( ke)] 1 +n (1) where the savings rate s(r) satisfies (1 +r)1/0-1 s( 7 ) = (1+7)1/0-1+ (1+ p)1/@ (2) The wage and rental rate follow directly from the capital stock: rt = f(kt) (3) wt = f ( ke) - kif'(k) (4 ) Let f(k) = ko for a = 0.3, p = 0.1, n = 0.1. For 0 6 {1/2, 1, 2}, simulate a time series for capital from 1