12. Now, the landlords problem is maxe. H (e. h + (1 e) l)...

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12. Now, the landlords problem is maxe. H (e. h + (1 − e) · l) h.1 such that e h-l C 1 =lLL - where the first constraint is the tenant's ICC and the second is the limited liability con- straint (LLC). Ignore the participation constraint (PC) for now. Solve the optimization problem and find h. Call it ht and express it in terms of H, c, w. LL 12. Now, the landlords problem is maxe. H (e. h + (1 − e) · l) h.1 such that e h-l C 1 =lLL - where the first constraint is the tenant's ICC and the second is the limited liability con- straint (LLC). Ignore the participation constraint (PC) for now. Solve the optimization problem and find h. Call it ht and express it in terms of H, c, w. LL

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