3. A farm in an LDC with 5 adult members has the following output schedule:

Number of Workers 1 2 3 4 5

Output ($) 1,000 1,800 2,400 2,800 3,000

Output is distributed equally among the members of the family.
Assume that a job in the city pays $1,300. However, there is an unemployment rate of 50% (wage under unemployment is $0). Assume no informal sector.

a. Assume that each member of the family acts selfishly. Under these circumstances those who migrate to the city act on their own (they do not receive any income from the farm nor they send any urban income to the farm). Those who remain in the farm will share the farm production equally. Given these assumptions, how many people will migrate to the city?
b. Now assume that the family is altruistic: they work either in the city or the farm, and then the total family income is pooled and shared equally. How many people will migrate to the city?