Economics 9708 · AS & A Level · Indifference curves and budget lines

Indifference curves and budget lines — practice question

The diagram presents an indifference map together with two budget lines. As the consumer’s budget line moves from BL1 to BL2, consumption moves from point W to point Z. What do these changes show about the type of goods X and Y?

  • Agood X normal; good Y inferior
  • Bgood X normal; good Y normal
  • Cgood X inferior; good Y normal
  • Dgood X inferior; good Y inferior

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