If all prices double and income triples, then the budget line will become steeper.

Name: If all prices double and income triples, then the budget line will become steeper.
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Question

Quizplus · Accepted Answer

When all prices double and income triples, the budget line shifts outward but does not necessarily become steeper since the slope of the budget line, which represents the price ratio of the two goods, remains unchanged.

If All Prices Double and Income Triples, Then the Budget