A halving of the prices good A and good B has the same effect on the budget line as doubling the income.

Assume one person has the following utility function : = x f yz and the total income y 2 xpx+ yPy + zpz u( x, y, z, What are the values of income (y) and prices (px.Py,Pz) will be when a person's demand strictly positive quantity of good x?

Make a curve of the budget line curve with the Indifference curve, make a separation between the substitution effect and the income effect Continue to make the demand curve decrease

The income of a consumer is $40, the price of A is $2, and the price of B is $6. If the quantity of A is measured vertically, then the slope of the budget line is Multiple Choice −3.0. −0.5. −0.33. −2.5.

Given the following budget constraint: PXQX + PYQY = M, where PX = $2, PY = $1 and M = $10 (M is income) a. What is the slope of the budget constraint in QX/QY space (where QX is on the horizontalaxis and QY is on the vertical axis)?b. What is the relative price of an additional unit of X?c. What is the relative price of an additional unit of Y