Please answer the following question.

5. (ii marks) Consider the standard ULG model with money and growing population. Individuals are endowed with 3,- units of a perishable consumption good when young and nothing when old. Individuals want to consume both when yoimg and when old. Let N; = 113%.] and M; = zM_1 for every period t. where N; are the number of people born in period t and M; is the money stock in period t. Consider the case in which 3 and n are both greater than 1. The moneyr created each period is distributed as a lump-sum transfer to each old individual worth at units of consumption goods. Each generation has identical preferences where vino, em} = lnico} + lnioio), where c111 is the amount of the good that is consumed in the rst period of life by an individual born in period t1 and c2y+1 is the amount the same individual consumes in the second period of life. i3 is the discount factor and {l 4:.\" ,6 at 1. {a} Find an individual's budget constraints when young and when old. Combine then] to form the individual's lifetime budget constraint. [2 marks] (h) Solve for the optimal consumption allocation (of. c5) chosen by the individual in a stationary monetary equilibrium. Note: express {cfI o3) as a function of exogenous paranica ters {2,y+1] in the model. a; is not an exogenous variable. {2 marks] [c] Solve for the social piannerls golden-rule allocation. Under what condition[s] will the monetary equilibrium coincide with the golden-rule allocation? How would you interpret your results? [2 marks}