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

Indifference curves and budget lines — practice question

The curve GH shown in the diagram represents a consumer’s original budget line. Which combination could make the budget line move to JK?

  • Aprice of good X decrease; consumers’ money income decrease
  • Bprice of good X decrease; consumers’ money income increase
  • Cprice of good X increase; consumers’ money income decrease
  • Dprice of good X increase; consumers’ money income increase

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