Any combination of goods lying outside of the budget line
A)implies that the consumer is not spending all his income.
B)yields less utility than any point on the budget line.
C)yields less utility than any point inside the budget line.
D)is unattainable, given the consumer's income.

Question

Quizplus · Accepted Answer

Any combination of goods lying outside of the budget line is unattainable given the consumer's income, as the budget line represents all the combinations of goods and services that a consumer can purchase with their income at prevailing prices.

Any Combination of Goods Lying Outside of the Budget Line