Refer to the Diagram

question 215

Multiple Choice

Refer to the diagram. Suppose the budget line shifts so that the consumer's equilibrium changes from point A to point B. This means that the

• A)price of Y has increased.
• B)price of Y has decreased.
• C)price of X has increased.
• D)consumer's money income has increased.

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Definitions:

Reimbursement

The process of compensating someone for out-of-pocket expenses incurred on behalf of another party.

Strict Liability

A legal principle where an individual or entity is responsible for damages or harm caused by their actions, regardless of negligence or intent.

Inherently Dangerous

Refers to activities, substances, or products that possess potential risks or harm that cannot be entirely mitigated through reasonable care or precautions.

Substantially Departed

A term describing a significant deviation or departure from agreed-upon terms or expectations in a legal or formal context.