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1. (10 points) A consumer has an income stream across two periods equaling to (Y0,Y1) and can bo lend at the interest rate r. For

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1. (10 points) A consumer has an income stream across two periods equaling to (Y0,Y1) and can bo lend at the interest rate r. For each of the following data points, determine whether the const stream (C0,C1) satisfies the inter-temporal budget constraint. Table 1: Consumption and income streams You must draw a graph to illustrate your answer in both of the cases. 1. (10 points) A consumer has an income stream across two periods equaling to (Y0,Y1) and can bo lend at the interest rate r. For each of the following data points, determine whether the const stream (C0,C1) satisfies the inter-temporal budget constraint. Table 1: Consumption and income streams You must draw a graph to illustrate your answer in both of the cases

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