If a consumer's income decreases,in what way will the budget constraint for cola and pizza change
A)It will shift outward, parallel to the old budget constraint.
B)It will shift inward, parallel to the old budget constraint.
C)It will rotate outward toward pizza because the consumer can afford more pizza.
D)It will rotate outward toward cola because the consumer can afford more cola.

Question

Quizplus · Accepted Answer

If the consumer's income decreases, the budget constraint shifts inward because they can now afford less of both cola and pizza.

If a Consumer's Income Decreases,in What Way Will the Budget