If Income Increases and Prices Are Unchanged, the Consumer's Budget

question 103

Multiple Choice

If income increases and prices are unchanged, the consumer's budget constraint

• A)remains the same.
• B)shifts outward.
• C)shifts inward.
• D)rotates outward along the horizontal axis.

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Definitions:

Real Defense

A defense in law that allows a promissory note or negotiable instrument to be invalidated based on factors like fraud or forgery.

Holder in Due Course

A legal term describing someone who has acquired a negotiable instrument (like a check) in good faith and without knowledge of any defects.

Gambling

The act of wagering money or valuables on the outcome of a game or event with an uncertain result, with the primary intent of winning additional money or goods.

Real Defense

A legal defense that is valid against all the world, including bona fide purchasers or holders in due course.