-In the above figure, the line AB is called
A) the expenditure function.
B) the saving function.
C) the consumption function.
D) the 45-degree line.

Question

-In the above figure, the line AB is called
A) the expenditure function. 
B) the saving function. 
C) the consumption function. 
D) the 45-degree line.

Quizplus · Accepted Answer

The 45-degree line is a line that represents all points where the value of the x-axis is equal to the value of the y-axis. In the given figure, the line AB is a 45-degree line because the value of the x-axis at point A is equal to the value of the y-axis at point A, and the value of the x-axis at point B is equal to the value of the y-axis at point B.

-In the Above Figure, the Line AB Is Called