Suppose you have hamburgers on the horizontal axis and root beer on the vertical axis.If the price of hamburgers increased,how would this be shown using the income constraint?
A)It would shift the constraint outward.
B)It would shift the constraint inward.
C)It would rotate the vertical intercept outward.
D)It would rotate the horizontal intercept inward.

Question

Quizplus · Accepted Answer

When the price of hamburgers increases, the amount of hamburgers that can be purchased with a given income decreases, leading to a rotation of the budget constraint around the vertical intercept (root beer) towards the origin, effectively rotating the horizontal intercept (hamburgers) inward.

Suppose You Have Hamburgers on the Horizontal Axis and Root