Multiple Choice
Assume initially that the price of X (the quantity of which is measured on the horizontal axis) is $9 and the price of Y (the quantity of which is measured on the vertical axis) is $4. If the price of X now declines to $6, the budget line will
A) be unaffected.
B) shift outward on the vertical axis.
C) shift inward on the horizontal axis.
D) shift outward on the horizontal axis.
Correct Answer:
Verified
Correct Answer:
Verified
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