The shift of the budget line from cd to ab in the figure is consistent with
A) decreases in the prices of both M and N.
B) an increase in the price of M and a decrease in the price of N.
C) a decrease in money income.
D) an increase in money income.

Question

The shift of the budget line from cd to ab in the figure is consistent with 
A) decreases in the prices of both M and N. 
B) an increase in the price of M and a decrease in the price of N. 
C) a decrease in money income. 
D) an increase in money income.

Quizplus · Accepted Answer

The Answer of The shift of the budget line from cd to ab in the figure is consistent with 
A) decreases in the prices of both M and N. 
B) an increase in the price of M and a decrease in the price of N. 
C) a decrease in money income. 
D) an increase in money income.

The Shift of the Budget Line from Cd to Ab