The Budget Line Shows the Boundary Between Those Combinations of Goods

question 79

Multiple Choice

The budget line shows the boundary between those combinations of goods and services that

• A)have positive marginal utility and those that have negative marginal utility.
• B)are available and those that are unavailable.
• C)are desirable and those that are undesirable.
• D)are affordable and those that are unaffordable.
• E)are normal goods and those that are inferior goods.

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Definitions:

Condition Concurrent

In contracts, conditions that are to happen or be performed at the same time by both parties involved in the agreement.

Conditions Subsequent

Clauses in a contract that, if met, bring about the termination of the contract's obligations for one or more parties.

Commercially Impracticable

A condition under the Uniform Commercial Code where performance of a contract is made excessively burdensome or expensive due to unforeseen events.

Supervening Event

An event that occurs after the parties have entered into a contract and significantly changes the circumstances, possibly excusing performance.