I have to draw the budget constraint, c = (1-7)w (24 - 1),with consumption on the y-axis, and time on the x-axis. The l is leisure, c is consumption, and p is the price of the consumption good. W is the total income, and w is the hourly wage. There are two tax rates: 7 is applied at first, and is then applied after, where T2 > T. I have been given W -271+3-72 W 52 8w > 3 1-72 (1-T)w And have to draw the budget constraint, c = (24 - 1) under these conditions p My question is, how do I apply these conditions? I know the second tax rate, T2 is applied after 8 hours of work, and that the budget line will intercept at (0,24) and (24,0), since you have 24 hours of leisure to spend. And before the condition 8w > W -21+3-2 is applied, I have calculated that the slope will be - rates (1-T)w , 3 1-72 but I want to know what the new slope will be, with the two different tax Logically it makes sense the slope will be more horizontal after the new tax rate 72 is applied, since it will limit consumption on the y-axis. But I don't know how to get the exact slope