Graph 22-1
-Refer to Graph 22-1.Which of the points on the graph shown reflects the choice of a consumer who chooses not to spend her entire income?

Question

Graph 22-1 
-Refer to Graph 22-1.Which of the points on the graph shown reflects the choice of a consumer who chooses not to spend her entire income?

Quizplus · Accepted Answer

Point D represents a consumer who chooses not to spend her entire income, as this point lies below the 45-degree line. This indicates that the consumer is saving a portion of her income rather than spending it all. Points A, B, and C all lie on or above the 45-degree line, indicating that the consumer is spending all of her income in each scenario.

Graph 22-1 -Refer to Graph 22-1.Which of the Points on the Graph