If the price of good A doubles and the price of B triples, the budget line become
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1 mark, −0.33MicroeconomicsBudget constraint and consumer equilibriumBudget set and budget lineModerateabout 1 min
UoH 2016 Question 17: Budget constraint and consumer equilibrium
Answer and worked solution
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Budget constraint and consumer equilibrium has come up 99 times in 7 exams since 2004.
What this question tests
This question is on Budget set and budget line, part of Budget constraint and consumer equilibrium in Microeconomics.
Which bundles a consumer can afford, the slope of the budget line, and how income and price changes shift it.
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