Register
Any point on the budget constraint Multiple Choice Gives the consumer the highest level of utility. Represent a combination of two goods that are affordable. Represents combinations of two goods that yield
261,985 views
13 votes
13 votes
Any point on the budget constraint Multiple Choice Gives the consumer the highest level of utility. Represent a combination of two goods that are affordable. Represents combinations of two goods that yield the same utility. Reflects the price of one good divided by the price of another good.

User Edward M Smith
by
2.8k points

1 Answer

15 votes
15 votes

Answer: Represent a combination of two goods that are affordable

Step-by-step explanation:

The budget constraint simply represents all the combinations of goods and services which a particular consumer can buy given the current prices of the goods within their given income.

The concepts of budget constraint is used in examining the parameters of the choices of the consumers. It should be noted that any point on the budget constraint simply represents a combination of two goods that are affordable.

User DIsoVi
by
2.2k points
Ask a Question
Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.

1.6m questions

2.0m answers

Other Questions

If the rate of inflation in Japan dramatically increases while the rate of inflation in the United States remains constant, then a. the demand curve for dollars shifts to the left. b. the demand curve
Kylie is risk averse and has $1,000 with which to make a financial investment. She has three options. Option A is a risk-free government bond that pays 5 percent interest each year for two years. Option
Elroy Rocket is entering his senior year as an accounting major and has a number of options for his summer break. His options for the 3 month break follow: (1) Work full time at a local accounting firm
In January of the current year, Dora made a gift of stock to her granddaughter. At the time of the gift, the stock was worth $15,000. Several months later in the same year after the gift, a $500 dividend
Jillian Diaz receives a regular salary of $1,500 a month and is entitled to overtime pay at the rate of one and one-half times the regular hourly rate for any time worked in excess of 40 hours per week.
Link Copied!