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A Budget Line Is Constructed to Show

Question 46

Multiple Choice

A budget line is constructed to show


A) how consumers who budget their expenditures achieve more satisfaction than those who do not.
B) the set of all baskets that the consumer can afford,given prices and his or her income.
C) the set of all baskets that the consumer would be willing to purchase given various prices for the goods in the basket.
D) the set of all baskets that the consumer considers equally desirable.

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