Problem
1. Explain how the intertemporal budget constraint and indifference curves are used to derive a consumer's optimal choice of current and future consumption.
2. What can shift the intertemporal budget line, IBL? What happens to current and future consumption when IBL shifts occur?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.