A decrease in the price of good Y will have what effect on the budget line on a normal X-Y graph? Select one: OA. Parallel outward shift of the line OB. Parallel inward shift of the line O C. Decrease the horizontal intercept COD. Increase the vertical intercept

A decrease in the price of good Y will have what effect on the budget line on a normal X-Y graph? Select one: OA. Parallel outward shift of the line OB. Parallel inward shift of the line O C. Decrease the horizontal intercept COD. Increase the vertical intercept

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

A decrease in the price of good Y will have what effect on the budget line on a normal X-Y graph?
Select one:
OA. Parallel outward shift of the line
OB. Parallel inward shift of the line
OC. Decrease the horizontal intercept
COD. Increase the vertical intercept

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