Imagine a Budget Line Between Two Goods, a and B

question 74

Multiple Choice

Imagine a budget line between two goods, A and B. If both prices triple while income doubles,

• A) the budget line stays the same
• B) the budget line rotates clockwise
• C) the budget line rotates counterclockwise
• D) the budget line shifts outward
• E) the budget line shifts toward the origin

---

Definitions:

Box-and-whisker Plots

Graphical representations of a dataset that show the distribution's minimum, first quartile, median, third quartile, and maximum.

Cumulative Relative Frequency

A statistical measure showing the sum of relative frequencies up to a certain class or category, indicating the proportion of data points that fall within that category or below.

Total Sample

The full collection of individuals, items, or data points that have been selected or gathered for analysis in a study.

Upper Limit Value

The maximum value in a given set, or the highest allowable value according to certain criteria.