Use the following figure to answer the questions : Figure : 5-5 shows a family's preferences toward schooling,before and after a fixed-quantity subsidy.

-Prior to the subsidy,the family is in equilibrium at point J.Assume that public schooling cannot be supplemented with private tutoring.Refer to Figure 5-5.Public schooling provided in the amount of B0 causes the family to increase consumption of other goods by _____.
A)MC
B)MH
C)M0
D)CH

Question

Use the following figure to answer the questions : Figure : 5-5 shows a family's preferences toward schooling,before and after a fixed-quantity subsidy.

-Prior to the subsidy,the family is in equilibrium at point J.Assume that public schooling cannot be supplemented with private tutoring.Refer to Figure 5-5.Public schooling provided in the amount of B0 causes the family to increase consumption of other goods by _____. 
A)MC 
B)MH 
C)M0 
D)CH

Quizplus · Accepted Answer

The Answer of Use the following figure to answer the questions : Figure : 5-5 shows a family's preferences toward schooling,before and after a fixed-quantity subsidy.

-Prior to the subsidy,the family is in equilibrium at point J.Assume that public schooling cannot be supplemented with private tutoring.Refer to Figure 5-5.Public schooling provided in the amount of B0 causes the family to increase consumption of other goods by _____. 
A)MC 
B)MH 
C)M0 
D)CH

Use the Following Figure to Answer the Questions : Figure