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Suppose you would like to draw a two period budget line where the borrowing/lending rate of interest, r, allows consumers to choose consumption in each
Suppose you would like to draw a two period budget line where the borrowing/lending rate of interest, r, allows consumers to choose consumption in each of the two periods, C1 and C2, given their anticipated income on two periods, Y1 and Y2. The horizontal (C1) intercept is Select one: Y11+r + Y2 Y1 + Y2(1 + r) Y1(1 + r) + Y2 Y1 + Y21+r
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