Lizzie's budget line is shown in the figure above. If the price of a cookie falls, the budget line
A) shifts rightward and its slope does not change.
B) shifts leftward and its slope does not change.
C) becomes flatter.
D) becomes steeper.
D
You might also like to view...
Developing countries have identified which key issues as important to them in current trade talks?
What will be an ideal response?
According to the law of demand, the quantity demanded of a good is related to
A. the relative price of that good. B. the average price of all goods. C. any factor that affects the decision of an individual consumer but not the market. D. income.
An externality refers to the idea that
A. explicit costs differ from implicit costs. B. decision-makers do not internalize all the costs. C. private and internal costs differ. D. we cannot do anything that does not affect other people.
The physical export of motorcycles from the United States to Mexico best illustrates a:
A. trade flow. B. resource flow. C. financial flow. D. technology flow.