A consumer's budget constraint is drawn with the quantity of pizza measured along the horizontal axis and the price of Pepsi measured along the vertical axis. If the market is offering the consumer the trade-off of 3 pints of Pepsi for 1 pizza, then what is the slope of the consumer's budget constraint?
A pizza costs three times as much as a pint of Pepsi, so the slope of the budget constraint is 3 (or, technically, -3).
Economics
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Refer to Table 2-4. What is George's opportunity cost of cultivating a garden?
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Economics
Which of the following will not shift the demand for the euro to the right?
A) an increase in interest rates in the European Union B) expectations among speculators that the price of the euro will rise in the future C) an increase in incomes in countries that buy goods from the European Union D) a decrease in the demand for European goods
Economics