For a competitive equilibrium in a two-period model, all of the follow

For a competitive equilibrium in a two-period model, all of the following must be true except

A) each consumer picks first- and second-period consumption given the real interest rate.
B) there must be an equal number of borrowers and lenders.
C) the government’s present-value budget constraint holds.
D) the credit market clears.

ANSWER

B