The below indifference map shows the various combinations of hours of music and apples that yield different levels of utility.Figure 7.1

-An increase in income _____.

Question

The below indifference map shows the various combinations of hours of music and apples that yield different levels of utility.Figure 7.1
 
-An increase in income _____.

Quizplus · Accepted Answer

An increase in income will shift the budget line to the right, allowing the consumer to purchase more of both music and apples, and potentially achieve a higher level of utility. Thus, the best choice is D. A does not make sense as the budget line's slope does not change with income. B is incorrect as a higher income does not necessarily lead to a steeper budget line. C is incorrect as an increase in income typically improves the consumer's ability to purchase goods and achieve higher levels of utility. E is unrelated to the question.

The Below Indifference Map Shows the Various Combinations of Hours