An Increase in Income, Holding Prices Constant, Can Be Represented

question 118

Multiple Choice

An increase in income, holding prices constant, can be represented as:

• A) a change in the slope of the budget line.
• B) a parallel outward shift in the budget line.
• C) an outward shift in the budget line with its slope becoming flatter.
• D) a parallel inward shift in the budget line.

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Definitions:

Participants

Participants are individuals who take part in a process or activity, especially in research or experiments.

Representative

Serving as a typical or characteristic example of a group or class; or, in politics, someone elected to act and speak on behalf of a wider group.

Elementary School

A primary educational institution where children receive their initial stage of compulsory education.

Increases

The act or process of becoming larger or greater in size, number, amount, degree, or intensity.