In the above figure, the budget line would rotate in the direction indicated as a result of a

A) rise in the price of a book.
B) fall in the price of a book.
C) rise in the price of a movie.
D) decrease in income.

B

Economics

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The price paid to purchase land

A) has no relation to cost because it did not cost anything to produce the land. B) rarely has any relation to cost because it has usually been determined by competitive bidding. C) usually depends on the cost to the seller of letting the purchaser have the land. D) would more accurately reflect the social value of the land if the price were zero.

Economics

The opportunity cost of moving from point a to point b in the above figure is ________

A) zero B) 3/2 pairs of socks per sweater C) 3 pairs of socks D) 2 sweaters

Economics