Refer to the graphs shown, which show indifference curve analysis with the associated demand curves. The best explanation for a movement from point D to point F is:
A)an outward rotation of the budget constraint along the x-axis, allowing the consumer to move from point A to point B.
B)a parallel shift of the budget constraint, allowing the consumer to move from point A to point C.
C)an inward rotation of the budget constraint along the x-axis, forcing the consumer to move from point B to point A.
D)an outward rotation of the budget constraint along the y-axis, allowing the consumer to move from point B to point C.

Question

Refer to the graphs shown, which show indifference curve analysis with the associated demand curves.  The best explanation for a movement from point D to point F is:
A)an outward rotation of the budget constraint along the x-axis, allowing the consumer to move from point A to point B. 
B)a parallel shift of the budget constraint, allowing the consumer to move from point A to point C. 
C)an inward rotation of the budget constraint along the x-axis, forcing the consumer to move from point B to point A. 
D)an outward rotation of the budget constraint along the y-axis, allowing the consumer to move from point B to point C.

Quizplus · Accepted Answer

The Answer of Refer to the graphs shown, which show indifference curve analysis with the associated demand curves.  The best explanation for a movement from point D to point F is:
A)an outward rotation of the budget constraint along the x-axis, allowing the consumer to move from point A to point B. 
B)a parallel shift of the budget constraint, allowing the consumer to move from point A to point C. 
C)an inward rotation of the budget constraint along the x-axis, forcing the consumer to move from point B to point A. 
D)an outward rotation of the budget constraint along the y-axis, allowing the consumer to move from point B to point C.

Refer to the Graphs Shown, Which Show Indifference Curve Analysis