The budget constraint for a consumer who only buys apples (

A) and bananas (B) is PAA + PBB = I where consumer income is I, the price of apples is PA, and the price of bananas is PB. To plot this budget constraint in a figure with apples on the horizontal axis, we should use a budget line represented by the slope-intercept equation:
A) A = -I/PA + (PB/PA)B
B) A = I/PA - (PB/PA)B
C) B = -I/PB + (PA/PB)A
D) B = I/PB - (PA/PB)A

D

Economics

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Moral hazard occurs ________ an agreement is made and when monitoring the parties to the agreement is ________

A) before; easy B) before; costly C) after; easy D) after; costly

Economics

Why do economists abstract, and is it appropriate?

What will be an ideal response?

Economics