Question: Section B You must answer ONE question from this section. Question 3. Suppose that you consider the consumption preferences for one period of an investor

 Section B You must answer ONE question from this section. Question

Section B You must answer ONE question from this section. Question 3. Suppose that you consider the consumption preferences for one period of an investor with initial endowment equal to 30,0005. The preferences of this investor are characterized by the following indifference curve: U = G - C the slope of which is equal to: dcl/dc0 = - c1/c0 and where c, stands for the current consumption and c, for the next periods' consumption. Moreover, the available investment opportunity set is expressed through the following equation:

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