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Suppose a Consumer Has an Income I = $50 Which

Question 3

Multiple Choice

Suppose a consumer has an income I = $50 which he/she spends on pizza and tacos per month. The price of pizza is $10 and the price of tacos is $5. If the units of pizza consumed per month is on the x-axis and the units of tacos consumed per month is on the y-axis, the slope of the budget line is equal to


A) 1/2
B) 2
C) -2
D) 2I

Correct Answer:

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