Explain and sketch the impact of rising energy prices and the rebate on an individual household’s budget constraint.

The rebateeffectively increases the (nominal) income of those households. Explain and sketchthe impact of rising energy prices and the rebate on an individual household’s budgetconstraintQuestion 2: The ONS is investigating the consumption of chocolate in the UK. Using yourknowledge of consumer theory, what variables would you advise the ONS to look atas key determinants of the consumption of chocolate? Explain.