-Refer to the above figure. Given the indifference map and budget constraint represented above, what would make all possible points attainable for the individual to consume?
A) an increase in the price of Good X
B) a decrease in income
C) an increase in the price of Good Y
D) a decrease in the price of Good X

Question

-Refer to the above figure. Given the indifference map and budget constraint represented above, what would make all possible points attainable for the individual to consume?
A) an increase in the price of Good X 
B) a decrease in income 
C) an increase in the price of Good Y 
D) a decrease in the price of Good X

Quizplus · Accepted Answer

A decrease in the price of Good X would shift the budget constraint outward (to the right), making all possible points on the indifference curves attainable for the individual to consume. This is because the individual could now afford more of Good X for the same amount of money, effectively increasing their purchasing power.

-Refer to the Above Figure