If goods P and Q are purchased by a consumer; a fall in the price P with the price Q unchanged will cause the budget line to?

By: |Published on: Oct 29|Categories: Economics JAMB| 0 comments

A. shift parallel inwards
B. rotate outwards away from the origin
C. rotate inwards towards the origin.
D. shift parallel outwards

Correct Answer:

Option C – rotate inwards towards the origin.

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