Assume the graph shown shows Bobbi's budget constraint. If hairbands cost $5, then Bobbi's income to spend on these two items must be:

A. $8.
B. $40.
C. $6.
D. Cannot be determined without more information.


Answer: B

Economics

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One reason the government enacts fiscal policy instead of waiting for the economy to correct itself is the automatic adjustment:

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Jimbo has a comparative advantage over Ned in producing a good if:

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Economics

Which of the following is a question answered with positive economic analysis?

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Economics