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Suppose Again the Government Offers Poor People a Housing Voucher

Question 55

Multiple Choice

Suppose again the government offers poor people a housing voucher and units of housing is graphed on the x-axis and the composite good is graphed on the y-axis. The consumer will always choose to consume the exact amount of the housing voucher's units of housing when:


A) the consumer's indifference curves are everywhere steeper than the budget line.
B) the consumer chooses to move into a better school district for educational purposes.
C) the housing voucher causes the budget line to shift toward the origin.
D) the consumer's indifference curves are flatter (closer to horizontal) than the budget line where it slopes downward.

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