Hi,

I would like help on the following question. Thanks

Suppose that the federal government's welfare program pays $4,000 for the first four months of earnings, and 40% reduction thereafter. If this worker earns 2,500 dollars per month, assuming 12 months per year, answer the questions. a. Construct the yearly income-leisure constraint both graphically and equations. b. Compute the break-even level of income and leisure (the level of income that makes the welfare = 0). c. Compute the level of income when the leisure is 9 months. What is amount of earning income and what is the amount of welfare benefit? d. Compute the level of income when the leisure is 6 months. What is amount of earning income and what is the amount of welfare benefit? e. Compute the level of income when the leisure is 1 month. What is amount of earning income and what is the amount of welfare benefit?