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Assume That Vera Has $30 in Income and That the Price

Question 107

Multiple Choice

Assume that Vera has $30 in income and that the price of a loaf of bread is $1.50 and the price of a jar of peanut butter is $3.If Vera's income increases from $30 to $45,the rational spending rule would predict that Vera would buy


A) more bread and less peanut butter.
B) more bread and more peanut butter.
C) less bread and more peanut butter.
D) less bread and less peanut butter.
E) more bread and the same amount of peanut butter.

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