QUESTION 1 Consider an OLG economy where each generation has 20 bananas when young and 0 bananas when old. Suppose central bank prints out 2 unit of money, give to gen 0 for free. Solve for equilibrium exchange rate "1 money ?7 bananas", QUESTION 2 Under the equilibrium exchange rate you solved in the previous question, what is cy for each generation with money? QUESTION 3 Under the equilibrium exchange rate you solved in the previous question, what is co for each generation with money?

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