Baseballs cost $5 each and baseball gloves cost $20. Assume you have $100 to spend on these items. Putting baseballs on the vertical axis,what is the slope of the budget line?
What will be an ideal response?
The budget line should be a straight line with vertical intercept at B = 20 (= $100/$5), and horizontal intercept at G = 5 (= $100/$20). The slope is -4.
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