If the Consumer's Income Decreases While the Prices of Both

question 49

Multiple Choice

If the consumer's income decreases while the prices of both goods remain unchanged, what will happen to the budget line?

• A)The budget line rotates inward from the intercept on the horizontal axis.
• B)The budget line rotates outward from the intercept on the vertical axis.
• C)The budget line shifts inward without a change in slope.
• D)The budget line shifts outward without a change in slope.

---

Definitions:

Market Demand

The total quantity of a product or service that consumers are willing and able to purchase at various price levels.

Demographic Profile

A statistical analysis of the characteristics of a specific population, including age, race, gender, income, and education.

Nonuser Profiles

Analysis or descriptions of the characteristics of individuals or entities that do not use a particular product, service, or platform, used to understand market gaps or barriers to entry.

Field Support

Assistance and services provided to operational sites or field operations, often involving technical support, maintenance, and troubleshooting.