Considering the Ricardian equivalence theorem, say whether the statement is true, false or uncertain. Support your answers in a few lines. Add graph if needed.

1)If the government runs a deficit, households will feel wealthier.

2)A current budget deficit leads to no change in national savings.

3)lump-sum taxes do not cause substitution effects. ( Personally, I also confused about what would happen if tax is not lump-sum)

4)If the time path of government purchases does not change and the government cuts current labor income taxes, then labor supply is shifted to the future.

5)The Canadian government typically runs a deficit during recessions and this is likely a good policy.