Figure 5-1 Shows the Preferences of a Consumer for Food

Multiple Choice

Figure 5-1 shows the preferences of a consumer for food and other goods.He is initially in equilibrium at point A where the budget line MN is tangent to the indifference curve.
Figure 5-1
-Refer to Figure 5-1.From the initial point of equilibrium,an excise subsidy will move the consumer to point _____.

A) E
B) C
C) B
D) A