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Samantha Has a Budget of $40 and Buys Beef Jerky

Question 244

Multiple Choice

Samantha has a budget of $40 and buys beef jerky and fried pork rinds.Her budget does not change and the price of both beef jerky and fried pork rinds increases.As a result,


A) Samantha's consumption possibilities have decreased.
B) Samantha's budget line shifts inward.
C) Samantha can still buy the combination of beef jerky and fried pork rinds she was initially consuming because her budget did not change.
D) Answers A and B are correct.
E) Answers A and C are correct.

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