The limitation that a consumer's total expenditure on goods and services purchased cannot exceed the income available is referred to as
A)maximizing behavior.
B)economizing behavior.
C)the price constraint.
D)the budget constraint.

Question

Quizplus · Accepted Answer

The limitation described in the question is known as the budget constraint, which is represented by the equation: Expenditure <= Income. Option D (the budget constraint) is the best choice for this question.

The Limitation That a Consumer's Total Expenditure on Goods and Services