The Variables That Determine a Household's Budget Line Are

question 307

Multiple Choice

The variables that determine a household's budget line are

• A) its preferences and income.
• B) its preferences and prices.
• C) prices and income.
• D) None of the above are correct.

---

Definitions:

Algorithm

A step-by-step procedure or formula for solving a problem or accomplishing some end within a finite number of steps.

Heuristic

A mental shortcut that allows people to solve problems and make judgments quickly and efficiently.

Quasi-reflective Thinker

An individual at a stage of cognitive development where they recognize that some knowledge is uncertain, yet they struggle to integrate this uncertainty into their judgments.

Logical Consistency

The quality of being free from contradictions and logically coherent in argument or theory.