An increase in an individual's income without changing relative prices will
a. rotate the budget constraint about the X-axis.
b. shift the indifference curves outward.
c. shift the budget constraint outward in a parallel way.
d. rotate the budget constraint about the Y axis.
c
Economics
You might also like to view...
The relative price of a magazine in the above figure is
A) 0.5 of a hamburger per magazine. B) 1 hamburger per magazine. C) 1.33 hamburgers per magazine. D) 8 hamburgers per magazine.
Economics
Bank reserves will increase if which of the following changes occurs, assuming that there are no offsetting changes elsewhere on the Fed's balance sheet?
A) Fed loans decrease B) Currency held by the public increases C) Treasury deposits increase D) The float decreases
Economics