The Diagram Below Shows a Set of Budget Lines Facing

question 47

Multiple Choice

The diagram below shows a set of budget lines facing a household.
FIGURE 6- 8
-Refer to Figure 6- 8.The movement of the budget line from ab to ef could be caused by

• A)a decrease in money income.
• B)an equal percentage increase in the price of both food and housing.
• C)a decrease in the price of either food or housing.
• D)an equal percentage decrease in the price of both food and housing.
• E)an increase in the price of either food or housing.

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Definitions:

Promissory Estoppel

A legal principle preventing a party from withdrawing a promise that another party has reasonably and substantially relied on to their detriment.

Consensus

General agreement or harmony among a group of people or the collective judgment, position, and opinion of a group.

Formation Of Contract

The legal process by which an agreement between parties becomes legally enforceable, usually involving offer, acceptance, consideration, and mutual intent.

Offer And Acceptance

The fundamental components of a contract where one party makes an offer and the other accepts, creating a legally binding agreement.