A set of baskets that a consumer can purchase with a limited amount of income is
A) Consumer choice
B) Consumer purchase
C) Budget Constraint
D) Budget line

Question

Quizplus · Accepted Answer

A budget constraint is a set of baskets a consumer can purchase with a limited amount of income. It represents the combinations of two goods that a consumer can afford to buy with a specific amount of money. Therefore, the correct answer is C. The other options are not the appropriate definition for this concept.

A Set of Baskets That a Consumer Can Purchase with a Limited