The state of Ohio has designed a new housing subsidy program, wherein people receive vouchers that they can give to their landlords.You receive $2400 of subsidy to start, whether you work or not.A participant will receive $2400 as long as they $8000 or less per year (segment 1). When a participant earns between $2400 and $8000, their voucher is reduced by .60 cents for every dollar earned (segment 2). When a participant earns more than 8000 they no longer receive the subsidy and return to their normal budget constraint. Graph the budget constraint with the housing subsidy.

The state of Ohio has designed a new housing subsidy program, wherein people receive vouchers that they can give to their landlords.You receive $2400 of subsidy to start, whether you work or not.A participant will receive $2400 as long as they $8000 or less per year (segment 1). When a participant earns between $2400 and $8000, their voucher is reduced by .60 cents for every dollar earned (segment 2). When a participant earns more than 8000 they no longer receive the subsidy and return to their normal budget constraint. Graph the budget constraint with the housing subsidy.