Rummy has $40 a week to spend on burger and cake.The price of burger is $5 and the price of cake is $2 a slice 1.if the price of cake doubles while the price of burger remains at $5 and rummys income remains at $40 describe the change in his budget line Rummy has $40 a week to spend on burger and cake. The price of burger is $5 and the price of cake is $2 a slice 1.lf rummys income increases to $60 a week and the price of burger and cake remain unchanged describe the change of his budget line.

ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
Section: Chapter Questions
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Rummy has $40 a week to spend on burger
and cake.The price of burger is $5 and the
price of cake is $2 a slice
1.if the price of cake doubles while the price
of burger remains at $5 and rummys income
remains at $40 describe the change in his
budget line
Transcribed Image Text:Rummy has $40 a week to spend on burger and cake.The price of burger is $5 and the price of cake is $2 a slice 1.if the price of cake doubles while the price of burger remains at $5 and rummys income remains at $40 describe the change in his budget line
Rummy has $40 a week to spend on burger
and cake. The price of burger is $5 and the
price of cake is $2 a slice
1.lf rummys income increases to $60 a week
and the price of burger and cake remain
unchanged describe the change of his budget
line.
Transcribed Image Text:Rummy has $40 a week to spend on burger and cake. The price of burger is $5 and the price of cake is $2 a slice 1.lf rummys income increases to $60 a week and the price of burger and cake remain unchanged describe the change of his budget line.
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