1. Using graphical analysis, show the effects of implementing a universal basic income (UBI) program providing $700 per month for a low-income individual.

a. show the effects of the UBI using budget constraints and indifference curves, analyze the tradeoff between consumption of goods (like food) and leisure(less leisure means working more hours). Explain the graph. Depict the income effect from going from no UBI to receiving UBI.

b. depict what happens when all wages are taxed to generate revenue to pay for the UBI.

c. How would your graph change for a high-income individual, assume the high income individual would not be eligible for UBI but must pay a tax on their wages. Draw a new graph and explain.