The figure shows Laura's budget line. Laura buys only lilies (Y) and orchids (X). Lilies (number per month) 167 The price of a lily is $4 and the price of an orchid is $7. 14- Suppose Laura's income rises by $14 a month, the price of a lily increases by $6, and the price of an orchid remains the same. 12- What is the equation of Laura's new budget line? 10- ..... 8- The equation of Laura's new budget line is 6- O A. Y= 70 - 3.0X 4- O B. Y= 70- 6.0X O C. Y= 7-.7X 2- O D. Y= 7- 1.43X Budget line 0- 10 Orchids (number per month)

Q: Theodore's budget line has changed from A to B. Which of the following explains the change in…

A: Budget line shows combinations of two goods that can be bought with given level of income

Q: Shannon consumes dresses and lemonade. The price of a dresses is $10 and the price of a lemonade is…

A: When talking about consumer behavior, an individual will be at equilibrium when: MUx/MUy=Px/Py

Q: Refer to the budget line shown in the diagram below. If the consumer's money income is $20, the: 10…

A: Given: Consumer income=$20 Quantity of D=10 Quantity of C=5 To find: Prices of C and D.

Q: In the diagram, Tanisha originally selects her consumption bundle at point A with 3 pounds of olives…

A: The theory of demand says that with an increase in price the demand for the commodity falls. Thus,…

Q: Which graph shows a change in the price of X, but no changes in the price of Y and in the buyer's…

A: Shift in the budget line is due to the factors other than the change in the price of goods. When the…

Q: Draw and label the following budget curves on a clearly labeled graph. A consumer uses their full…

A: A budget line is one which shows various combinations of two goods that a consumer can purchase by…

Q: Melanie has an income of $140 which she can spend on tea at $8 per cup or used clothes at $20 per…

A: Budget line shows the graphical representation of Budget Constraints, which shows the how much…

Q: Rummy has $40 a week to spend on burger and cake.The price of burger is $5 and the price of cake is…

A: It is given that the consumer prefers burger (B) and cake (C). The price of B and C are equal to $5…

Q: If a household has an income of $50 and buys only milk at $3 each unit and honey at $6 each unit,…

A: Answer: Introduction: Budget constraint or equation: The budget equation shows that the consumer's…

Q: Suppose that a consumer has an income of $10 per period, and that he must spend it all on meat or…

A: Ans. The consumer's budget line is the graphical representation of all possible combinations of two…

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A: A person's income is nothing but the number of goods and services they can purchase within their…

Q: A consumer has $300 to spend on goods X and Y. The market prices of these two goods are Px = $15 and…

A: (1) A budget constraint is an economic word that refers to the total amount of products you can…

Q: Rummy has $40 a week to spend on burger and cake. The price of burger is $5 and the price of cake is…

A: It is given that the consumer prefers burger (B) and cake (C). The price of B and C are equal to $5…

Q: Brenda wants to buy a new car and has a budget of $24,000. She has just found a magazine that…

A: a) The budget line would be given as PX*X+PY*Y= M Given the price of car increases by $4000 when one…

Q: Linda loves buying shoes and going out to dance. It costs Linda $50 to buy a new pair of shoes or to…

A: The budget line is the graphical representation of all the possible combinations of two different…

Q: Suppose that with a budget of $110, Deborah spends $66 on sushi and $44 on bagels when sushi costs…

A: Given; Income; I=$110Money spent on sushi= $66Money spent on bagels= $44Cost of 1 piece of…

Q: Consider the following figure showing three budget lines corresponding to a change in income (with…

A: Income elasticity of demand: - Income elasticity of demand measures the responsiveness of change in…

Q: If the consumer's income rises to $100 while the prices of pizza and cola are constant, then the…

A: Budget line would increase and rotate outwards towards cola axis.

Q: What information is embodied in a budget line? What shifts occur in the budget line when money…

A: A budget line represents all the bundles i.e. combination of two goods which a consumer can buy with…

Q: Amy has $12 to spend on coffee and soda. The price of coffee is $2 a cup, and soda is $1 a can. The…

A: A budget line is a downward-sloping straight line that contains all potential combinations of the…

Q: Felipe consumes two goods, x and y. Their budget line at the beginning of the year had intercepts…

A: A budget line is the locus of different combinations of two goods that a consumer can purchase with…

Q: Suppose the only two goods that Brett consumes are wine and cheese. When wine sells for $10 a bottle…

A: Pw= $10 Pc= $10 M=100 P'w= 5 P'c= 20 M=100

Q: Agatha has a weekly allowance that she spends on candy bars and fidget toys. She can just afford…

A: Budget line shows combinations of two goods that can be bought with the given level of income or…

Q: Janelle spends all of her income on songs from iTunes ($1 each) and apps ($5 each) for her iPhone.…

A: Real Income When referring to an individual's income, real revenue is the money earned after…

Q: Kawther’s income is OMR12 a week. The price of small-sized pizza is OMR3, and the price of a fresh…

A: 1. The budget line equation is given below.

Q: The income of a consumer is $40, the price of A is $5, and the price of B is $2. If the quantity of…

A: We are going to find the slope of budget equation to answer this question. Slope of the budget line…

Q: Explain how a consumer budget and product price changes impact the budget line by drawing…

A: The budget line explains the combination of products to be selected till the last money of budget is…

Q: Explain using words and graphs where an individual demand curve is derived(where do they come from)?

A: Demand curve is a downward sloping linear curve showing the relationship between the price of a good…

Q: Jessie is attempting to draw her budget constraint for purchasing cookies and strawberries. At a…

A: The budget line depicts the distinct combinations of two consumer commodities that an individual can…

Q: Hafidh’s income is $200 a month. The price of watch is $25 a show, and the price of a Jeans is $15.…

A: The budget line of a consumer is the locus of all maximum combinations of two goods or services the…

Q: Amy has $12 to spend on coffee and soda. The price of coffee is $2 a cup, and soda is $1 a can.…

A: A) According to the question, "income of Amy is $12 to spend on coffee and soda, price of coffee is…

Q: Alex distributes his monthly income of $600 between two goods, movies and food. By spending his…

A: here we calculate the budget line of Alex by using the given information and choose the correct , so…

Q: Charlie eats only pizzas and fruit salads which are discrete goods. Each pizza has 1000kcal, and…

A: Given ,  1 pizza = 1000 Kcal  Price of a Pizza = 8 1 Fruit Salad = 250 Kcal  Price of Fruit pizza =…

Q: Marie has a weekly budget of $2400, which she likes to spend on magazines and pies. If the price of…

A: Income=$2400 Price of Magazine= $40 Price of pie= $120

Q: Quantity of cola 600 400 200 300 Quantity of pizza A consumer has a total budget of $800 to spend on…

A: "Budget line represents all the possible combinations of two items that can be purchased at given…

Q: If the price of Apple increases and the price of Oranges decreases, how will it affects the budget…

A: The consumer equilibrium is that condition in which the consumer benefits the maximum from his/her…

Q: A consumer has initial income of $100 and faces prices of Px = $1 and Py = $5. Graph the budget…

A:

Q: Raymond consumes meatloaves and pineapples. He has decided that his monthly budget will be $1500.…

A: Given : M=budget=$1500 Price of meatloaf=$375 and price of Pineapple= $150 Let m be the quantity of…

Q: 30. Refer to Figure #5. Assume that the consumer depicted in the figure faces prices and income such…

A: The IC indifference curve represents the combinations of two products that yield the same utility…

Q: Hira has Rs.1200 a week to spend on yogurt and mangoes. The price of yogurt is Rs.200, and mangoes…

A: The budget line, additionally referred to as the budget constraint, exhibits all the mixtures of two…

Q: Jane's budget line А. rotates outward if her budget increases and prices don't change В. shifts…

A: Budget line is a downward sloping curve depicting a constraint with which a consumer can buy amount…

Q: Explain the meaning of a budget line? B.  Explain the effect of the following on the budget line if…

A: Budget line is the constraint which the consumer can spend on the consumption of the goods ie the…

Q: 32/ Assume that a consumer has a given budget or income of $24 and that she can buy only two goods,…

A: Answer in step 2.

Q: The graph shows the budget line for a consumer who only buys cookies and magazines. If the…

A: Budget line: - it is the graphical representation of different combinations of two goods that a…

Q: Linda loves buying shoes and going out to dance. It costs Linda $50 to buy a new pair of shoes or to…

A: Linda has $500 to spend of shoes and dancing.  It cost Linda $50 to buy a new pair of shoes or to…