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Write down the budget constraint for a consumer on a food support program, which subsidizes rice for the first K units (kilogram) at an ad-valorem
Write down the budget constraint for a consumer on a food support program, which subsidizes rice for the first K units (kilogram) at an ad-valorem rate of s. The consumer has a budget $M to spend on healthcare premium and rice. Market price of both goods are Ph and Pr , respectively. Depict the budget line on a graph, marking the feasible set.
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