Jerome spends his entire income on clothes and food. Draw the budget line for each of the following situations, calculating the intercepts and slope in each case. (Measure clothes on the vertical axis (Y) and food on the horizontal axis (X). I. Monthly income is $1000, the price of clothes is $8, and the price of Food is $10. II. .Monthly income is $400, the price of clothes is $8 and the price of food is $10

Wo firms, a and b, each currently dump 50 tons of chemicals into the local river. the government has decided to reduce the pollution and from now on will require a pollution permit for each ton of pollution dumped into the river. it costs firm a $100 for each ton of pollution that it eliminates before it reaches the river, and it costs firm b $50 for each ton of pollution that it eliminates before it reaches the river. the government gives each firm 20 pollution permits. government officials are not sure whether to allow the firms to buy or sell the pollution permits to each other. what is the total cost of reducing pollution if firms are not allowed to buy and sell pollution permits from each other? what is the total cost of reducing pollution if the firms are allowed to buy and sell permits from each other? a. $3,000; $1,500 b. $4,500; $3,500 c. $4,500; $4,000 d. $4,500; $2,500