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

Indifference curves and budget lines — practice question

The diagram illustrates an individual’s budget lines and indifference curves. The original budget line is JL. After that, the price of good Y rises. Which distance shows the substitution effect of the rise in the price of good Y?

  • ALK
  • BSR
  • CTS
  • DTR

Worked solution & mark scheme

This 1-mark question has a full step-by-step worked solution and mark scheme.

  • Full mark scheme, point by point
  • Step-by-step worked solution
  • Write your answer & get it marked instantly by AI