Figure 21-6

-Refer to Figure 21-6.Assume that the consumer depicted in the figure faces prices and income such that she optimizes at point B.According to the graph,what change forces the consumer to move to point A
A)a decrease in the price of yogurt
B)a decrease in the price of granola bars
C)an increase in the price of yogurt
D)an increase in the price of granola bars

Question

Figure 21-6
 
-Refer to Figure 21-6.Assume that the consumer depicted in the figure faces prices and income such that she optimizes at point B.According to the graph,what change forces the consumer to move to point A
A)a decrease in the price of yogurt 
B)a decrease in the price of granola bars 
C)an increase in the price of yogurt 
D)an increase in the price of granola bars

Quizplus · Accepted Answer

An increase in the price of granola bars would cause the budget line to pivot inward, leading the consumer to move from point B to point A, where fewer granola bars are consumed.

Figure 21-6 -Refer to Figure 21-6.Assume That the Consumer Depicted in the Consumer