If food is measured on the horizontal axis of a budget line diagram,and clothing is measured on the vertical axis,an increase in
A)the price of food will decrease the slope (e.g. ,-9 instead of -6)of the budget line
B)the price of food will increase the slope of the budget line
C)income will decrease the slope of the budget line
D)income will increase the slope of the budget line
E)the price of clothing will decrease the slope of the budget line

Question

Quizplus · Accepted Answer

An increase in the price of food will decrease the slope of the budget line because it will make food more expensive relative to clothing, so consumers will be able to buy less food for the same amount of money.

If Food Is Measured on the Horizontal Axis of a Budget