Assume instead that public services work as an input into private production (think of infrastructure spending). In particular, assume the following production function: a 10! 3115 = kt 91: where 9: represents the amount public expenditures at time t. Suppose for now that the government nances the spending by lump sum taxes such that the economy-wide resource constraint is Ct +kt+1 +9: = y: + (1 -\" (5)16} Robinson Crusoe cares about the lifetime utility that depends on a stream of his consumption: U = ilnct t=0 where the period-by-period utility is a natural log function in consumption. 1. Explain the EWRC above. Does it make sense