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Commerce · Q706

Economics

Graduate and Post Graduate · Commerce · question 706

Q706

Bobby buys cat food for his cat, Pearl. If the price of cat food falls (cat food is on the X-axis), then Bobby's budget line will

A.
Rotate outward, and its slope will change
Answer
B.
Shift inward, and its slope will not change
C.
Shift outward, and its slope will not change
D.
Rotate inward, and its slope will change

Answer: Option A

Solution

Answer: Option A
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