Attached problem

3. There is a depletable groundwater resource that we need to allocate between two consumption periods: Period 1 and Period 2. In total, there are 10 units of water available to allocate between the two periods. Assume that demand for groundwater is constant over time, and can be represented by the following demand function: Q = 7.5 0.5P. Assume that the marginal cost of extracting groundwater is also constant over time at $3/u nit, and the discount rate is 3%. [Note: marginal extraction cost will always be increasing for a depletable groundwater resource in reality; but for the sake of keeping the question simple, I used a constant marginal cost here]. a) In an efficient allocation, how many units of groundwater are consumed in each period? b) What is the marginal user cost? c) In an efficient allocation, what is the price (P*) of a unit of groundwater in period 1 and period 2