
ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN: 9780190931919
Author: NEWNAN
Publisher: Oxford University Press
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Transcribed Image Text:Question 20
When the budget line shifts from blue to red:
Good X
B (75X, ?Y)
(?X, ?Y
A (55X, ?Y)
Budget Line income $s00, Pss, PSiS
Budget Line income Sso0, Ps10, PS15
Good Y
The slope of the budget line increases.
The budget line gets steeper.
The price of Good X rises.
The price of Good Y rises.
Monetary income increases.
The relative price of Good X increases.
The relative price of Good Y increases.
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