Chuck Spends All of His Income on Tacos and Milkshakes

question 24

Multiple Choice

Chuck spends all of his income on tacos and milkshakes.His income is $100,the price of tacos is $10,and the price of milkshakes is $2.If the price of each good doubles and Chuck's income doubles:

• A)Chuck's budget line will be unaffected.
• B)Chuck's budget line will shift out.
• C)Chuck's budget line will shift in.
• D)Chuck will be able to buy more of both goods.

---

Definitions:

Consciously Activated

Processes or actions that are initiated or controlled by an individual's conscious awareness and deliberate thought.

Limited-Capacity Memory

A concept in cognitive psychology that suggests human memory has a finite capacity for storing and processing information.

Short-Term

Referring to a limited period of time, often contrasting with long-term or permanent scenarios.

Conscious Repetition

The intentional and repeated practice or review of information to aid memory retention.