Solved

The Slope of the Budget Line Is

Question 389

Multiple Choice

The slope of the budget line is


A) zero since prices of the goods and income are assumed to be constant.
B) negative since to purchase more of one good means that some of the other good must be given up.
C) negative because of the marginal rate of substitution.
D) positive since prices and income are positive.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q384: A set of indifference curves on a

Q385: In a map showing three indifference curves

Q386: -Refer to the</p></div><svg width=

Q387: -Refer to the</p></div><svg width=

Q388: What is the marginal rate of substitution

Q390: If an individual's total utility from consuming

Q391: The budget constraint shows that
A) the consumer

Q392: Basket of goods A is on an

Q393: The marginal rate of substitution measures
A) the

Q394: Suppose that indifference curve I1 lies to

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents