Q1. You have income $2000 this year, $1000 next year Interest rate is i= 10% at US Bank We draw budget constraint on a graph (with c on x-axis and c' on y-axis). The budget constraint hit x-axis at ______.

Q2. You have income $2000 this year, $1000 next year Interest rate is i= 10% at US Bank We draw budget constraint on a graph (with c on x-axis and c' on y-axis). The budget constraint hit y-axis at ______.

Q3. When interest rate i increases (for example, from 5% to 10%), the budget constraint becomes a steeper line. A. True B. False