Goods X and Y

Multiple Choice

Goods X and Y

For the following questions, assume that good X is on the horizontal axis and good Y is on the vertical axis in the consumer-choice diagram. PX denotes the price of good X, PY is the price of good Y, and I is the consumer's income. Unless otherwise stated, the consumer's preferences are assumed to satisfy the standard assumptions.

-Refer to Goods X and Y.Which of the following can cause a parallel,outward shift in the budget line?

A) A rise in the consumer's income.
B) A rise in the marginal value of X in terms of Y.
C) A fall in the price of good X.
D) A fall in the price of good Y.