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
-In Figure 5-1,the total outlays on other goods after the excise subsidy is given by _____.
A) 0M
B) 0N
C) 0E
D) 0G
Correct Answer:

Verified
Correct Answer:
Verified
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